如何成为合格的审计咨询师15.ppt

Completing the Tests in the Acquisition and Payment Cycle: Verification of Selected Accounts,Chapter 15,Learning Objective 1,Recognize the many accounts in the acquisition and payment cycle.,Accounts Associated with Acquisition and Payment Cycle Transactions,Accounts Associated with Acquisition and Payment Cycle Transactions,Accounts Associated with Acquisition and Payment Cycle Transactions,Learning Objective 2,Design and perform audit tests of property, plant, and equipment related accounts.,Auditing Manufacturing Equipment and Related Accounts,Analytical procedures,Current year disposals,Ending balance in the asset account,Depreciation expense,Ending balance in accumulated depreciation,Current year acquisitions,plus verifications of:,Analytical Procedures for Manufacturing Equipment,Compare accumulated Misstatement in depreciation divided by gross accumulated manufacturing equipment depreciation cost with previous years.,Analytical Procedures for Manufacturing Equipment,Analytical Procedure Possible Misstatement,Compare monthly or annual Expensing amounts repairs and maintenance, that should be supplies expense, small tools capitalized expense, and similar accounts with previous years.,Compare gross manufacturing Idle equipment or cost divided by some measure equipment that has of production with previous been disposed of, but years. not written off.,Verifying Current Year Acquisitions,The proper recording of current year additions is important because of the long-term effect the assets have on the financial statements.,Because of the importance of current period acquisitions, seven of the nine balance-related audit objectives are used as a frame of reference.,Major Balance-Related Audit Objectives,Existing acquisitions are recorded.,Completeness,1. Examine vendors invoices of closely related accounts to uncover items that should be manufacturing equipment. 2. Review lease and rental agreements.,Current year acquisitions as listed are accurate.,Major Balance-Related Audit Objectives,Accuracy,1. Examine vendors invoices.,Current year acquisitions as listed are properly classified.,Major Balance-Related Audit Objectives,Classification,Examine: 1. Vendors invoices in mfg. equipment account. 2. Vendors invoices of closely related accounts. 3. Rent and lease expense for capitalizable leases.,Verifying Current Year Disposals,Review whether newly acquired assets replace existing assets.,Analyze gains and losses on disposal.,Review documents for indications of deletion of equipment.,Make inquiries about the possibility of the disposal of assets.,Verifying Ending Balance of Asset Accounts,1. All equipment owned is recorded.,All recorded equipment physically exists on the balance sheet date.,Verifying Depreciation Expense,The most important objective is accuracy.,Verifying Ending Balance in Accumulated Depreciation,1. Accumulated depreciation as stated in the property master file agrees with the general ledger.,2. Accumulated depreciation in the master file is accurate.,Learning Objective 3,Design and perform audit tests of prepaid expenses.,Audit of Prepaid Expenses,Prepaid rent Organization cost Prepaid taxes Patents,Prepaid insurance Trademarks Deferred charges Copyrights,Prepaid Insurance Internal Controls,1. Controls over the acquisition and recording of insurance,2. Controls over the insurance register,3. Controls over the charge-off of insurance expense,Prepaid Insurance Audit Tests,Compare total prepaid insurance and insurance expense with previous years.,Compute the ratio of prepaid insurance to insurance expense and compare it with previous years.,Compare the individual insurance policy coverage on the schedule of insurance obtained with the preceding years schedule.,Prepaid Insurance Audit Tests,Compare the computed prepaid insurance balance for the current year on a policy-by-policy basis with that of the preceding year.,Review the insurance coverage listed on the prepaid insurance schedule with an appropriate client official or insurance broker.,Learning Objective 4,Design and perform audit tests of accrued liabilities.,Audit of Accrued Liabilities,Accrued income taxes Accrued interest Accrued pension costs Accrued professional fees Accrued rent Accrued warranty costs,Accrued Property Taxes and Related Accounts,Learning Objective 5,Design and perform audit tests of income and expense accounts.,Approach to Auditing Income and Expense Accounts,Analytical procedures,Tests of controls and substantive tests of transactions,Tests of details of account balances,Analytical Procedures for Income and Expense Accounts,Analytical Procedures for Income and Expense Accounts,Analytical Procedure Possible Misstatement,Compare individual asset Overstatement or and liability balances with understatement of a previous years. balance sheet account that would also affect an income statement account,Analytical Procedures for Income and Expense Accounts,Analytical Procedure Possible Misstatement,Compare individual Misstatement of expenses with budgets. expenses and related balance sheet accounts,Compare gross margin Misstatement of cost percentage with previous of goods sold and years. inventory,Analytical Procedures for Income and Expense Accounts,Analytical Procedure Possible Misstatement,Compare inventory Misstatement of cost turnover ratio with of goods sold and previous years. inventory,Compare prepaid insurance Misstatement of expense with previous insurance expense years. and prepaid insurance,Analytical Procedures for Income and Expense Accounts,Analytical Procedure Possible Misstatement,Compare commission Misstatement of expense divided by sales commission expense, with previous years. accrued commissions,Compare individual Misstatement of manufacturing expenses individual mfg. divided by total mfg. expenses and related expenses with previous years. balance sheet accounts,Tests of Controls and Substantive Test of Transactions,Understanding internal control and the related tests of controls and substantive tests of transactions to determine the appropriate assessed control risk are the most important means of verifying many of the income statement a