Can audit be carried as agreed upon?

In an audit conducted under agreed-upon procedures, the auditor provides only factual findings and does not offer opinions, conclusions or assurances in the final report. Instead, the auditor’s report simply presents the facts, with the audit facilitators drawing their own conclusions from the findings.

What is the last stage of an audit?

The completion stage of the audit is of crucial importance. It is during the completion stage that the auditor reviews the evidence obtained during the audit together with the final version of the financial statements with the objective of forming the auditor’s opinion.

What is the difference between an audit and agreed-upon procedures?

Unlike an audit, auditors do not give an opinion on subject matters in the agreed-upon procedures. Auditors only report of findings based on the agreed procedures performed on the subject matter. In the agreed-upon procedures, auditors do not perform an examination or a review like in an audit or a review engagement.

Is independence required for agreed-upon procedures?

The standard states that independence is not a requirement for agreed-upon procedures engagements, however the terms of the engagement or national standards may require the professional accountant to comply with the independence requirements of the Code of Ethics for Professional Accountants.

What are the three phases of an audit process?

Audit engagements are performed in three general phases: planning, fieldwork & review, and reporting.

What are the preconditions for an audit?

ISA 210 defines preconditions for an audit as follows: ‘The use by management of an acceptable financial reporting framework in the preparation of the financial statements and the agreement of management and, where appropriate, those charged with governance to the premise on which an audit is conducted’.

What is the first stage of any audit?

planning stage The first stage is the planning stage. In this stage, a corporation engages with the auditing firm to establish details, such as the level of engagement, procedures, and objectives. The second stage is the internal controls stage.

When does the Auditor design further audit procedures?

When the auditor designs further audit procedures they must ensure that they test a range of the assertions listed. For transactions (i.e. incomes and expenses recorded in the income statement) the auditor should test: For accounts balances (i.e. those balances recorded on the statement of financial position) the auditor should test:

What should be response to office of internal audit findings?

Responding to Audit Findings. All audit clients are required to provide a written response to audit findings. The response represents management’s plan for correcting or improving the finding situation.

What do independent auditors report to the company?

As independent auditor we will report to you whether, in our opinion, the accounts of the company, which we have audited, give a true and fair view of the state of the company’s affairs, and of the profit or loss for the year, and whether they have been prepared in accordance with the Companies Act 2006.

What should an auditor know about a company?

The auditor should also learn such things as marketing and distribution practices and methods of inventory valuation that are unique to the industry. Public companies are required under SFAS #14 to disclose segment information for different lines of business in the financial statements.