Page 4 - Use Of Confirmations And Related Parties

USE OF CONFIRMATIONS & RELATED PARTIES

Objectives of the topic

• Identify audit situations where the use of external

confirmations will be appropriate.

• Describe the procedures that should be followed when

confirming information with knowledgeable third
parties (including banks and attorneys).

• Identify situations in where the use of written

representation letters is appropriate.

• Explain the procedures to be applied in evaluating and

documenting written representations.

• Describe possible actions that can be taken by the
auditor if management refuses to provide appropriate

representations.

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