Finalising an audit file is more than just a signature.
Before the audit report can be signed, an audit file must be finalised and the evidence obtained reviewed to ensure the proper opinion is being expressed. The auditor may also have other reporting obligations that needs to be considered.
Ensure your team members know how to assess whether or not enough evidence was obtained to substantiate your opinion and avoid practical pitfalls and deficiencies.
This course focuses on finalising an audit file in Draftworx and ensuring compliance with the standards and increasing audit quality
The completion stage of the audit is of crucial importance. It is during the completion stage that the auditor reviews the evidence obtained during the audit together with the final version of the financial statements, with the objective of forming the auditor's opinion. This course covers some of the key requirements that are relevant at the completion stage. The practical implications of these requirements are explained by way of a simulated case study.
By the end of this course, delegates should be able to complete an audit engagement and ensure the audit opinion is correct and supported by the necessary evidence.
The delegates will be provided with a case study including all the information necessary regarding the client to perform the finalisation section. They will then need to complete the audit using Draftworx. The following sections will be done:
• Sampling
• Related parties
o Identifying the related parties
o Testing the transactions and balances
o Testing the disclosure
• Litigation and claims
o Identifying a possible contingent liability and commitments
• Going concern
o Evaluate the client plan
o Audit the cash flow forecast
• Subordination agreements and insolvencies
• Subsequent events
o Identifying the subsequent events
o Documenting the treatment
o Assessing the impact on the financial statements
• Final/Overall analytical review
• External confirmations
• Evaluations of misstatements
o Calculating Final Materiality
o Evaluating individual material misstatements
o Evaluating qualitative material misstatements
o Assessing the effect of uncorrected misstatements
• Reporting to management on deficiencies in internal controls
o Difference between deficiencies and significant deficiencies
• Obtaining written representations
• Deciding on the type of opinion and setting up the audit report i.r.o. the new revised ISA 700
• Including KAM’s into the report i.r.o. the new revised ISA 701
• Reporting to IRBA i.r.o. Reportable irregularities.
o What is a reportable irregularity
o Practical exercise on identifying a reportable irregularity
o How to report to IRBA
• Reporting non-compliance with laws and regulations in terms of the code of conduct
o What is our responsibilities in an audit
o If it is not an RI, should we still report?
Third year SAICA trainees
Fourth year SAICA trainees
Fifth year SAICA trainees
Audit mangers
Audit partners
Auditors
Delegates must bring their own computers with Draftworx already loaded. All software must be fully licensed. All other material and stationery will be provided.
