Properly identifying, assessing and responding to risk through a detailed audit plan is critical to an effective and efficient financial statement audit. This module will emphasize the key concepts that drive the risk-based audit process.
- Overview of the risk-based audit process
- How the elements of the audit risk formula interrelate
- Emphasis on overall risk, fraud risk, and control risk
- Linking the assessed risk of material misstatement to the detailed audit plan
- Documenting risk assessment conclusions and responses
- Explain the importance of risk assessment to a high quality audit
- Describe the audit risk formula, including how the elements relate
- Discuss the steps of an effective risk assessment process
- Link risk to a detailed audit plan
Accountants who must identify, assess and respond to risk through a detailed audit plan on a financial statement audit.
Familiarity with SASs and FASBs