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SA:- 402 Audit considerations
relating to an entity using
service organization
Scope:-
A service organization’s service are part of user entities information system, relevant
to financial reporting if this service is affect any of the following:-
1. Class of transaction and its significance
2. Procedures within IT and manual to initiate, record, processed, corrected as
necessary
3. Relevant accounting records in electronic or manual, supporting information
and specific account used to initiate, record, processed, corrected as necessary
4. Information system capture events and condition other than transaction
significant to FS
5. Financial reporting process to prepare FS
6. Control surrounding journal entries including non standard journal
entries(NSJE) used to record non recurring unusual transaction or adjustment
Auditors objective:-
SA:- 402 Audit considerations relating to an entity using service organization 1
SA:- 402 Audit considerations
relating to an entity using
service organization
Scope:-
A service organization’s service are part of user entities information system, relevant
to financial reporting if this service is affect any of the following:-
1. Class of transaction and its significance
2. Procedures within IT and manual to initiate, record, processed, corrected as
necessary
3. Relevant accounting records in electronic or manual, supporting information
and specific account used to initiate, record, processed, corrected as necessary
4. Information system capture events and condition other than transaction
significant to FS
5. Financial reporting process to prepare FS
6. Control surrounding journal entries including non standard journal
entries(NSJE) used to record non recurring unusual transaction or adjustment
Auditors objective:-
SA:- 402 Audit considerations relating to an entity using service organization 1
