Audit

Auditing is the inspection that performance professional auditors to entity’s financial statements and others related financial records.

There are many topics that we covering related to auditing include:

  • Audit plan
  • Audit approaches
  • Audit reports
  • Audit opinion
  • Audit risks
  • Audit Procedures
  • Internal Audit
  • And many others importance topics related to auditing.

Financial Statements Auditing – Definition, Purpose, And Phases

Definition: Financial statements auditing is the review of an entity’s annual financial statements for the purpose of allowing an independent auditor to express their opinion over the true and fair view in preparing and presenting financial statements again the specific accounting standard and framework. The financial statements that auditors will review are the balance sheet,

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What are the Five Elements of an Assurance Engagement?

Assurance engagement normally involves three parties and consists of five important elements. Those five elements include criteria, report, evidence, subject matter, and three-party relationship. Here is the detail: 1) Criteria: What are the criteria for the engagement? For example, if the engagement is the audit of financial statements, then the criteria would be the standards

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Inherent Audit Risks – Definition, Example, and Explanation

Definition: Inherent audit risks are the risks that the material misstatements could happen in financial statements due to other reasons rather than the failure of internal control over financial reporting as well as detection risks. Many reasons lead to increased inherent risks in the audit of financial statements. Those include the complexity of elements being

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Audit Procedures for Testing Sales Revenues (Risks and Assertions Included)

Overview: The audit procedure is one of the most important things that auditors need to ensure that they are well and correctly prepared, tailored, and executed to minimize audit works and reduce audit risks. Sales revenues are one of the sensitive areas that auditors need to place their great attention on since it is the

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Audit Procedure For Depreciation Expenses (Risks and Assertions)

Overview: Depreciation expenses are one of the significant expenses that reporting in the company’s income statement. Those expenses are the costs that the entity charged to fixed assets used for operation during the periods through depreciation by using the systematic methods accepted by certain accounting standards. In the income statement, depreciation expenses are allocated in

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