如何成为合格的审计咨询师(10).ppt

AuditReports,Chapter2,LearningObjective1,Describethepartsofthestandardunqualifiedauditreport.,PartsoftheStandardUnqualifiedAuditReport,1.Reporttitle,2.Auditreportaddress,3.Introductoryparagraph,4.Scopeparagraph,5.Opinionparagraph,6.NameofCPAfirm,7.Auditreportdate,LearningObjective2,Specifytheconditionsrequiredtoissuethestandardunqualifiedauditreport.,ConditionsforStandardUnqualifiedAuditReport,1.Allfinancialstatementsareincluded.,2.Thethreegeneralstandardshavebeenfollowedinallrespectsontheengagement.,3.Sufficientevidencehasbeenaccumulatedtoconcludethatthethreestandardsoffieldworkhavebeenmet.,ConditionsforStandardUnqualifiedAuditReport,4.Thefinancialstatementsarepresentedinaccordancewithgenerallyacceptedaccountingprinciples.,5.Therearenocircumstancesrequiringtheadditionofanexplanatoryparagraphormodificationofthewordingofthereport.,FourCategoriesofAuditReports,Standardunqualified,Unqualifiedwithexplanatoryparagraphormodifiedwording,Qualified,Adverseordisclaimer,LearningObjective3,Describethefivecircumstanceswhenanunqualifiedreportwithanexplanatoryparagraphormodifiedwordingisappropriate.,UnqualifiedReportwithExplanation,1.Lackofconsistentapplicationofgenerallyacceptedaccountingprinciples.,2.Substantialdoubtaboutgoingconcern.,3.Auditoragreeswithadeparturefrompromulgatedaccountingprinciples.,4.Emphasisofamatter.,5.Reportsinvolvingotherauditors.,ConsistencyversusComparability,Changesthataffectconsistencyandrequireanexplanatoryparagraphiftheyarematerial:,1.Changesinaccountingprinciples,2.Changesinreportingentities,3.Correctionsoferrorsinvolvingprinciples,ConsistencyversusComparability,Changesthataffectcomparabilitybutnotconsistency:,1.Changesinanestimate,2.Errorcorrectionsnotinvolvingprinciples,3.Variationsinformatandpresentationoffinancialinformation,4.Changesbecauseofsubstantiallydifferenttransactionsorevents,SubstantialDoubtaboutGoingConcern,1.Significantrecurringoperatinglossesorworkingcapitaldeficiencies,2.Inabilityofthecompanytopayitsobligationsastheycomedue,3.Lossofmajorcustomers,theoccurrenceofuninsuredcatastrophes,4.Legalproceedings,legislation,thatmightjeopardizetheentitysabilitytooperate,AuditorAgreeswithaDeparturefromaPromulgatedPrinciple,Theauditormustbesatisfiedandmuststateandexplain,inaseparateparagraphorparagraphsintheauditreport,thatadheringtotheprinciplewouldhaveproducedamisleadingresultinthatsituation.,EmphasisonaMatter,Undercertaincircumstances,theCPAmaywanttoemphasizespecificmattersregardingthefinancialstatements,eventhoughtheCPAintendstoexpressanunqualifiedopinion.,ReportsInvolvingOtherAuditors,1.Makenoreferenceintheauditreport.,3.Qualifytheopinion.,2.Makereferenceinthereport(modifiedwordingreport).,LearningObjective4,Identifythetypesofauditreportsthatcanbeissuedwhenanunqualifiedopinionisnotjustified.,DeparturesfromanUnqualifiedOpinion,1.Scopelimitation,2.GAAPdeparture,3.Auditornotindependent,QualifiedOpinion,Aqualifiedopinionreportcanresultfromalimitationonthescopeoftheauditorfailuretofollowgenerallyacceptedaccountingprinciples.,AdverseOpinion,ItisusedonlywhentheauditorbelievesthattheoverallfinancialstatementsaresomateriallymisstatedormisleadingthattheydonotpresentfairlythefinancialpositionorresultsofoperationsandcashflowsinconformitywithGAAP.,DisclaimerofOpinion,Itisissuedwhentheauditorisunabletobesatisfiedthattheoverallfinancialstatementsarefairlypresented.,LearningObjective5,Explainhowmaterialityaffectsauditreportingdecisions.,Materiality,Amisstatementinthefinancialstatementscanbeconsideredmaterialifknowledgeofthemisstatementwouldaffectadecisionofareasonableuserofthestatements.,LevelsofMateriality,Amountsareimmaterial.,Amountsarematerialbutdonotovershadowthefinancialstatementsasawhole.,Amountsaresomaterialorsopervasivethatoverallfairnessofthestatementsisinquestion.,RelationshipofMaterialitytoTypeofOpinion,MaterialityDecisions,MaterialityDecisions,Dollaramountcomparedwithabase,Measurability,Natureoftheitem,MaterialityDecisions,Scopelimitation,Auditreport,Unqualified,Qualifiedscopeandopinion,Disclaimer,LearningObjective6,Draftappropriatelymodifiedauditreportsunderavarietyofcircumstances.,DiscussionofConditionsRequiringDeparture,Auditorsscopehasbeenrestricted.,StatementsarenotinconformitywithGAAP.,Auditorisnotindependent.,ScopeRestrictedbyClientorConditions,StatementsNotPreparedinAccordanceWithGAAP,TheAuditorIsNotIndependent,LearningObjective7,Determinetheappropriateauditreportforagivenauditsituation.,AuditorsDecisionProcess,Determinewhetheranyconditionexistsrequiringadeparturefromastandardunqualifiedreport.,Decidethematerialityforeachcondition.,Decidetheappropriatetypeofreport.,Writetheauditreport.,NumberofParagraphsintheReport,Standard3Unqualifiedwithexplanatoryparagraph4Unqualifiedsharedreportwithotherauditors3Qualifiedopiniononly4Qualifiedscopeandopinion4Disclaimerscopelimitation3Adverse4,LearningObjective8,Discusstheimpactofe-commerceonauditreporting.,Im