Page 23 - Auditing Standards

As of December 15, 2017

Evidence provided by original documents is more reliable than evidence provided by photocopies or
facsimiles, or documents that have been filmed, digitized, or otherwise converted into electronic
form, the reliability of which depends on the controls over the conversion and maintenance of those

documents.

.09 The auditor is not expected to be an expert in document authentication. However, if conditions

indicate that a document may not be authentic or that the terms in a document have been modified but that
the modifications have not been disclosed to the auditor, the auditor should modify the planned audit
procedures or perform additional audit procedures to respond to those conditions and should evaluate the

effect, if any, on the other aspects of the audit.

Using Information Produced by the Company

.10 When using information produced by the company as audit evidence, the auditor should evaluate
whether the information is sufficient and appropriate for purposes of the audit by performing procedures to: 3

Test the accuracy and completeness of the information, or test the controls over the accuracy and
completeness of that information; and

Evaluate whether the information is sufficiently precise and detailed for purposes of the audit.

Financial Statement Assertions

.11 In representing that the financial statements are presented fairly in conformity with the applicable
financial reporting framework, management implicitly or explicitly makes assertions regarding the recognition,

measurement, presentation, and disclosure of the various elements of financial statements and related
disclosures. Those assertions can be classified into the following categories:

Existence or occurrence—Assets or liabilities of the company exist at a given date, and recorded
transactions have occurred during a given period.

Completeness—All transactions and accounts that should be presented in the financial statements

are so included.

Valuation or allocation—Asset, liability, equity, revenue, and expense components have been
included in the financial statements at appropriate amounts.

Rights and obligations—The company holds or controls rights to the assets, and liabilities are
obligations of the company at a given date.

Presentation and disclosure—The components of the financial statements are properly classified,
described, and disclosed.

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