Attributes sampling is a statistical sampling method used to estimate the proportion of a population that possesses a specific attribute, commonly utilized by auditors in compliance tests to identify deviations from required control procedures.
An independent examination and subsequent expression of opinion on the financial statements of an organization, involving collecting evidence through compliance and substantive tests.
Audit evidence encompasses the information and data collected by auditors to form an audit opinion on the financial statements of an enterprise. This evidence is derived from a variety of sources and through different methodologies to ensure the accuracy and reliability of the financial statements.
The Audit Programme is a document outlining individual audit tests to be performed as per the audit plan to ensure that the accounting system operates efficiently and effectively.
Computer programs used by auditors to examine an enterprise's computer files and review the system for compliance tests and substantive tests.
An in-depth look into the purpose and different types of audit tests, including compliance tests and substantive tests, which are crucial for assessing the accuracy and completeness of financial statements.
A compliance audit is an extensive evaluation of an organization's adherence to regulatory guidelines. This includes a scrutiny of internal control procedures to ensure proper operation according to established protocols.
Tests used during an audit to determine the effectiveness of a company's control procedures. The extent of compliance testing will depend upon the extent to which specific controls are relied upon. Results of compliance testing will indicate the necessary level of substantive testing (tests of transactions, balances, etc.). If controls are found to be working well, substantive testing may be reduced to some extent.
Techniques developed by auditors for performing compliance tests and substantive tests on computer systems for firms in which the data being audited is processed by computers and held on computer files.
Control risk, also known as internal control risk, refers to the possibility that misstatements in a company's financial statements will not be prevented or detected on a timely basis by the internal control system. It is an essential component of audit risk and requires an in-depth assessment during the auditing process.
The extent of non-compliance with recognized control procedures that an auditor expects to find when performing compliance tests on a population or a sample of it.
Test data refers to data used by auditors in computer processing to verify the correct operation of an organization's computer programs. It is primarily used for conducting compliance tests on application controls.
