Page 194 - Auditing Standards
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As of December 15, 2017
assess control risk at less than the maximum, which results in a lower assessed risk of material misstatement. In
turn, this allows the auditor to modify the nature, timing, and extent of planned substantive procedures.
13 Terms defined in Appendix A, Definitions, are set in boldface type the first time they appear.
14 Paragraph .10 of AS 1105, Audit Evidence, and paragraph .16 of AS 2305, Substantive Analytical
Procedures.
15 AS 2110.37-.38 discuss performing a walkthrough.
16 The auditor also may use a benchmarking strategy, when appropriate, for automated application controls in
subsequent years' audits. Benchmarking is described further beginning at AS 2201.B28.
17 AS 2201.B1.
18 AS 2201.A5.
19 See, e.g., paragraph .14 of AS 2502, Auditing Fair Value Measurements and Disclosures.
20 AS 2315.44 discusses applying audit sampling in dual-purpose tests.
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