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Evidence

Using the work of others

4.1 Using the work of an expert

In certain circumstances auditors may need to rely on the work of, or consult parties
not involved in the audit process.

This may be where they lack technical knowledge and skills to gather evidence.

Experts may be involved in, for example:

 Property valuations

 Work in progress

 Legal provisions

An auditor’s expert is an individual or organisation whose work is used
by the auditor to assist in obtaining sufficient appropriate audit
evidence.

A management’s expert is an individual or organisation whose work is
used by the entity to assist in the preparation of the financial
statements.

Relying on the work of an auditor’s expert

ISA 620 Using the Work of an Auditor's Expert states that the auditor should obtain
sufficient and appropriate evidence that the work of the expert is adequate for the
purpose of the audit.

Deciding which expert to use

 Assess the expert’s competence, capability and objectivity.

 Competence and capability can be achieved by enquiring of the expert's
qualifications, experience, membership of a professional body, published work.

 Objectivity can be assessed enquiring whether there are any business or
personal relationships between the expert and the client.

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