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Chapter 53 4

Impact of interim audit work on the final audit

 If the controls tested at the interim stage provided evidence that control risk is
low, fewer substantive procedures can be performed.

 If substantive procedures were performed at the interim stage, fewer
procedures will be required at the final audit in general.

 As fewer procedures are being performed, the final audit will require less time to
perform.

 The auditor's report can be signed closer to the year-end resulting in more
timely reporting to shareholders.

 If the interim audit identified areas of increased risk, for example, controls were
found not to be working effectively, increased substantive procedures will be
required at the final audit.

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