Cases where an auditor is required to conduct a complete check of all transactions and balances
– Categories which are few in number but of great importance e.g. land and buildings
– Categories with special importance where materiality does not apply e.g. director‘s emoluments and director‘s loans and any other such benefits.
– Unusual, one-off or exceptional items
– Any area where the auditor is put upon enquiry
– High risk area
– Audit area does not consist of items of the same kind, i.e. there is non- homogeneous population.
- In order to conduct an audit effectively and efficiently, an auditor should properly plan for the assignment Explain the matters that an auditor should take into account at the planning stage of an audit exercise Outline the ways in which an auditor acquires knowledge about the client‘s business and industry
- Audit working papers should always be sufficiently complete and detailed to enable an auditor with no previous connection with the audit to subsequently ascertain from them what work was performed and to support the conclusions reached by the auditor Required;List four benefits that the auditor would obtain from working papers that meet the above requirements