Page 47 - Day 2 - Planning an Audit
P. 47

PERFOMANCE MATERIALITY





            • This will be set when the auditor performs tests on


                specific account balances or classes of transactions.



            • It is again a matter of professional judgement. Key

                is that PM is “stricter” than Planning Materiality


                and hence larger sample sizes (extent of testing)


                will be used.























                                                                                                                                     47


                                                                  CharterQuest
   42   43   44   45   46   47   48   49   50   51   52