Page 75 - AA Integrated Workbook STUDENT 2018-19
P. 75
Planning
Interim audit Final audit
Purpose Allows the auditor to spread out To obtain sufficient appropriate
their procedures and enables evidence in respect of the financial
more effective planning for the statements to enable the auditor’s
final stage of the audit. report to be issued.
Useful when there is increased The auditor’s report will be issued
detection risk due to a tight once the final audit complete and
reporting deadline. this signifies the end of the audit.
Work Documenting systems Statement of financial position
performed balances which will only be
Evaluating controls known at the year-end.
Additional activities that can be Transaction testing for
performed include: transactions that have
occurred since the interim
Test specific and complete audit took place.
material transactions, e.g.
purchasing new non-current Year-end journals which may
assets include adjustments to the
transactions tested at the
Test transactions such as interim audit.
sales, purchases and
payroll for the year to date Obtaining evidence that the
controls tested at the interim
Assess risks that will impact audit have continued to
work conducted at the final operate during the period
audit since the interim audit took
place.
Attend perpetual inventory
counts. Completion activities such as
the going concern and
subsequent events reviews,
overall review of the financial
statements and
communication of
misstatements with
management and those
charged with governance.
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