STUDY GUIDE PART 1 (ASSIGNMENT 02) SUBSTANTIVE PROCEDURES AND FINALISING AN AUDIT AUE3702/AUE303R Semesters 1 & 2

TOPIC 1 Audit evidence L Ferreira Topic overview An audit opinion must be substantiated by sufficient appropriate audit evidence. In this topic we are going to look at what is meant by the term “sufficient appropriate audit evidence”. In addition we will look at the different forms of audit evidence and special considerations: for example evidence produced by experts, the internal auditors, opening balances and the accounting estimate. We will look at how audit evidence can be selected (sampling) and how it can be requested or confirmed. In the next topic we will examine how analytical procedures (part of substantive procedures) also form part of audit evidence. This topic is divided into the following learning units. Learning unit Title 1.1 The theory of audit evidence (ISA 500) 1.2 Relying on information produced by the work of a management’s expert (ISA 500) 1.3 Using the work of an auditor’s expert (ISA 620) 1.4 Using the work of internal auditors (ISA 610) 1.5 Initial engagements: opening balances (ISA 510) 1.6 Accounting estimates (ISA 540) 1.7 Audit sampling (ISA 530) 1.8 External confirmations (ISA 505) 1.9 Written representations (ISA 580