PTSS | Chapter 2: Audit Evidences
Introduction
ISA 500 defines Audit Evidence as:
“Information
used by the auditor in arriving at the conclusions on which the auditor’s
opinion is based. Audit evidence includes both information contained in the
accounting records underlying the financial statements and other information.
(See Sufficiency of audit evidence and Appropriateness of audit evidence.)”
Evidential matter is necessary to support the assertions in
the financial statements. Evidential matter consists of underlying accounting
data such as books or journal of original entry and all corroborating
information available to the auditor. Underlying evidence for the most part is
available to the auditor from within the company. It consists of the accounting
data from which the financial statements are prepared, and includes journals,
ledgers, computer files, accounting manuals, memoranda, worksheets and
spreadsheets supporting items such as cost allocations, computations, and
reconciliations.
Our Discussion on this topic
Prepared by Siti Sarah Najiha Binti Besri 18DAT18F1011 | Phon Pi Mon A/P Boon Loy 18DAT18F1031 | Phamayla A/P Kam 18DAT18F1023
Prepared by Muhammad Firdaus | Aziah Yasmin | Shalini
Prepared by Nurul Atika Binti Zulkarnain (18DAT18F1017) | Nur
Raisyah Aqifah Binti Mohd Rozi (18DAT18F1037) | Anis Syahira Binti Rohaizat (18DAT18F1035)
Conclusion
Audit evidence is information used by the auditor in arriving at the conclusions on which the auditor’s opinion is based. It comprises source documents and accounting records underlying the financial report, and corroborating information from other sources. Audit evidence is gathered through all stages of an audit.
Comments
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