Free ACCA FAU Audit Evidence and Procedures Study Guide

Overview

This module covers audit evidence gathering and testing procedures, including sufficient appropriate evidence, audit assertions, and substantive procedures. Topics include evidence factors, procedures to obtain evidence, and automated tools techniques.

1. Audit evidence

• Importance including sufficient appropriate evidence
• Factors influencing relevance and reliability

2. Audit procedures and assertions

• Importance of assertions
• Assertions for transactions, account balances, and related disclosures
• Procedures to obtain evidence

3. Substantive procedures

• Linking programmes to objectives
• Procedures for key balance sheet areas
• High inherent risk for inventory
• Procedures before, during and after inventory count
• Reliance on perpetual inventory system
• Procedures for inventory audit

4. Audit sampling

• Definition and relevance
• Sampling selection methods
• Factors affecting sample sizes

5. Automated tools and techniques

• Use of ATTs including software and data analytics
• Advantages and disadvantages of ATTs