Page 137 - Internal Auditing Standards

Guide to Using International Standards on Auditing in the Audits of Small- and Medium-Sized Entities Volume 1—Core Concepts

When there are a number of controls where evidence could be used from prior audits, the reliance should be
staggered so that some testing of internal control is performed during each audit. Testing at least a few controls

each period also provides collateral evidence about the continuing effectiveness of the control environment.
In general, the higher the risks of material misstatement or the greater the reliance placed on internal control,
the shorter the time period should be between tests of controls.

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