SSA 500 Evidence requires audior to obtain sufficient and appropriate audit evidence to be able to...

SSA 500 Evidence requires audior to obtain sufficient and appropriate audit evidence to be able to draw reasonable conclusions on which to base the audit opinion.

Discuss the audit procedures that can be performed to collect evidence and evaluate the reliability of these procedures in ensuring that appropriate audit evidence has been obtained. (500 words minimum)

Expert Solution

Audit Evidences- Are the proofs that are collected by auditor to cross check the financial information provided by the company. Audit evidence is the basis of audit report.

Methods of collecting audit evidences- Are as following:

Physical examination
Examination of records
Recalculations
Third party confirmation
Expert opinion
Analytical procedure

Audit procedures that can be performed to collect evidence- Steps are as following:

Deciding- What types of evidences are to be collected, it has to be decided first. Auditor should collect his doubts first then accordingly he should seek for audit evidences.
Gathering evidences- After deciding about the audit evidences, auditor should collect the from different means and methods as mentioned above.
Analyzing evidences- After collecting all the relevant evidences, auditor should analyze the with all aspects, auditor should cross check them.
Drawing conclusion- After analyzing evidences, auditor should make his final report and conclude the results. He should seeks additional information if needed.

ekkarill92 answered 1 year ago

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