(a) Advantages of using standardized working papers
• .Improves the efficiency with which they are prepared.
• They act as guidelines or instructions to audit staff and facilitate delegation Of work
• Ensures that all relevant issues in the audit area are addressed.
Disadvantages of standardized working papers
• Audit work becomes mechanical.
• Client's staff may become familiar with the method.
• initiative. of the audit staff may be stifled because the need to' exercise judgement in
preparing working papers is eliminated.
• It may become obsolete
• It may not be appropriate for all clients.
(b) Factors that would influence the acceptance of third party evidence:-
• The credibility of the source of third party, evidence for example information received
from a bank confirming the client's bank balance is credible.
• The relationship between the third party and the client. Where the third party is
independent of the client then such evidence, can be-accepted.
• Where evidence is sent directly to the auditor as opposed to being sent to the client first,
such evidence is more acceptable.
• Where the evidence corroborates other evidence obtained by the auditor for example
where a confirmation from a debtor agrees with the-amount in the client's debtors listing.
Kavungya answered the question on May 14, 2019 at 13:24
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Distinguish between errors and frauds.
(Solved)
Distinguish between errors and frauds.
Date posted:
May 14, 2019
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Answers (1)
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List the circumstances that indicate the presence of errors, irregularities and frauds in an entity
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List the circumstances that indicate the presence of errors, irregularities and frauds in an entity
Date posted:
May 14, 2019
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Answers (1)
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Describe the audit procedures you would carry out when auditing a charity organisations:
i) Cash donations
ii) Non-cash donations
(Solved)
Describe the audit procedures you would carry out when auditing a charity organisations:
i) Cash donations
ii) Non-cash donations
Date posted:
May 14, 2019
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a) Explain the matters that an auditor should consider during the planning stage °Ian audit
of a continuing client.
b) Define the following audit risks:
i. Inherent risk:
ii....
(Solved)
a) Explain the matters that an auditor should consider during the planning stage °Ian audit
of a continuing client.
b) Define the following audit risks:
i. Inherent risk:
ii. Control risk.
c) Briefly describe the procedure an auditor could use to assess the risks in (b above in the
course of his audit of a company.
Date posted:
May 14, 2019
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Answers (1)
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Explain three reasons that could lead to the failure of an audit planning process.
(Solved)
Explain three reasons that could lead to the failure of an audit planning process.
Date posted:
May 14, 2019
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Answers (1)
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Describe eight benefits of audit documentation.
(Solved)
Describe eight benefits of audit documentation.
Date posted:
May 14, 2019
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Answers (1)
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Differentiate the role of an accountant from that of an auditor.
(Solved)
Differentiate the role of an accountant from that of an auditor.
Date posted:
May 14, 2019
.
Answers (1)
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(a) Highlight -five weaknesses of an audit conducted at the end of the financial period.
(b) Explain three fundamental differences between the work of internal auditors...
(Solved)
(a) Highlight -five weaknesses of an audit conducted at the end of the financial period.
(b) Explain three fundamental differences between the work of internal auditors and external
auditors.
Date posted:
May 14, 2019
.
Answers (1)
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(a) Section 162 of the Companies Act and related 7th Schedule to the Act deal with the auditor's
duties and rights.
Required;
List four duties of the auditor...
(Solved)
(a) Section 162 of the Companies Act and related 7th Schedule to the Act deal with the auditor's
duties and rights.
Required;
List four duties of the auditor of a limited liability company that can be inferred From
Section 162 and 7th Schedule of the Companies Act.
(b) Differentiate between a continuous audit and an interim audit.
Date posted:
May 14, 2019
.
Answers (1)