book

Wiley Practitioner's Guide to GAAS 2020

Name: Wiley Practitioner's Guide to GAAS 2020
Author: Joanne M. Flood
ISBN: 9781119596004

by Joanne M. Flood

March 2020

Intermediate to advanced

928 pages

29h 45m

English

Wiley

Read now

Unlock full access

Cover
Preface—Organization and Key Changes
About the Author
1 AU-C 200 Overall Objectives of the Independent Auditor and the Conduct of an Audit in Accordance with Generally Accepted Auditing Standards
ScopeDefinitions of TermsObjectives of AU-C Section 200RequirementsComplying with GAAS
2 AU-C 210 Terms of Engagement
ScopeDefinitions of TermsObjectives of AU-C Section 210Fundamental RequirementsAU-C 210 Illustration
3 AU-C 220 Quality Control for an Engagement Conducted in Accordance with Generally Accepted Auditing Standards
ScopeDefinitions of TermsObjective of AU-C Section 220Requirements
4 AU-C 230 Audit Documentation
ScopeDefinitions of TermsObjective of AU-C Section 230RequirementsInterpretationsAU-C 230 Illustrations
5 AU-C 240 Consideration of Fraud in a Financial Statement Audit
ScopeDefinitions of TermsObjectives of AU-C Section 240RequirementsAU-C 240 Illustrations
6 AU-C 250 Consideration of Laws and Regulations in an Audit of Financial Statements
ScopeDefinition of TermObjectives of AU-C Section 250Requirements
7 AU-C 260 The Auditor’s Communication with Those Charged with Governance
ScopeDefinitions of TermsObjectives of AU-C Section 260Requirements

8 AU-C 265 Communicating Internal Control Related Matters Identified in an Audit
ScopeDefinitions of TermsObjective of AU-C Section 265RequirementsManagement ResponseInterpretationsAU-C 265 Illustrations
9 AU-C 300 Planning an Audit
ScopeObjective of AU-C Section 300Requirements
10 AU-C 315 Understanding the Entity and Its Environment and Assessing the Risks of Material Misstatement
ScopeTechnical AlertDefinitions of TermsObjective of AU-C Section 315OverviewRequirementsAU-C 315 Illustrations
11 AU-C 320 Materiality in Planning and Performing an Audit
ScopeDefinition of TermObjective of AU-C Section 320OverviewRequirements
12 AU-C 330 Performing Audit Procedures in Response to Assessed Risks and Evaluating the Audit Evidence Obtained
ScopeDefinitions of TermsObjective of AU-C Section 330OverviewRequirements
13 AU-C 402 Audit Considerations Relating to an Entity Using a Service Organization
ScopeDefinitions of TermsObjective of AU-C Section 402RequirementsAU-C 402 Illustration—Audit Program for an Auditor’s Review of a Service Auditor’s Report
14 AU-C 450 Evaluation of Misstatements Identified during the Audit
ScopeDefinitions of TermsObjective of AU-C Section 450Requirements
15 AU-C 500 Audit Evidence
ScopeDefinitions of TermsObjective of AU-C Section 500RequirementsInterpretations
16 AU-C 501 Audit Evidence—Specific Considerations for Selected Items
ScopeObjective of AU-C Section 501Requirements—Investments in Securities and Derivative InstrumentsAU-C 501 Illustrations—Investments in Securities and Derivative InstrumentsRequirements—Inventory Existence and ConditionAU-C 501 Illustrations—Inventory ObservationRequirements—Litigation, Claims, and Assessments Involving the EntityAU-C 501 Illustration—Litigation, Claims, and AssessmentsRequirements—Segment Reporting
17 AU-C 505 External Confirmations
ScopeDefinitions of TermsObjective of AU-C Section 505RequirementsAU-C 505 Illustrations
18 AU-C 510 Opening Balances—Initial Audit Engagements, Including Reaudit Engagements
ScopeDefinitions of TermsObjective of AU-C Section 510RequirementsAU-C 510 Illustrations
19 AU-C 520 Analytical Procedures
ScopeDefinition of TermObjective of AU-C Section 520OverviewRequirementsAU-C 520 Illustrations
20 AU-C 530 Audit Sampling
ScopeDefinitions of TermsObjective of AU-C Section 530OverviewRequirementsNonsampling TechniquesNonstatistical Audit Sampling TechniquesStatistical Audit Sampling Techniques
21 AU-C 540 Auditing Accounting Estimates, Including Fair Value Accounting Estimates and Related Disclosures
ScopeDefinitions of TermsObjectives of AU-C Section 540OverviewRequirements
22 AU-C 550 Related Parties
ScopeDefinitions of TermsObjective of AU-C Section 550OverviewRequirementsAU-C 550 Illustration—Related-Party Checklist
23 AU-C 560 Subsequent Events and Subsequently Discovered Facts
ScopeDefinitions of TermsObjectives of AU-C Section 560OverviewRequirementsAU-C 560 Illustration—Subsequent Events Checklist
24 AU-C 570 The Auditor’s Consideration of an Entity’s Ability to Continue as a Going Concern
ScopeDefinition of TermObjectives of AU-C Section 570Responsibility for the Evaluation of the Entity’s Ability to Continue as a Going ConcernRequirementsAU-C 570 Illustration—Going Concern Checklist
25 AU-C 580 Written Representations
ScopeDefinition of TermObjectives of AU-C Section 580RequirementsAuditor’s Relationship with a Small or Nonpublic ClientAU-C 580 Illustrations
26 AU-C 585 Consideration of Omitted Procedures after the Report Release Date
ScopeDefinition of TermOverviewObjectives of AU-C Section 585RequirementsDetermining Importance of Omitted ProceduresAU-C 585 Illustration—Applying the Omitted Procedure
27 AU-C 600 Special Considerations—Audits of Group Financial Statements (Including the Work of Component Auditors)
ScopeIntroductionDefinitions of TermsObjectives of AU-C Section 600OverviewRequirementsInterpretationsAU-C 600 Illustrations
28 AU-C 610 Using the Work of Internal Auditors
ScopeObjectives of AU-C Section 610Definitions of TermsOverviewRequirementsAU-C 610 Illustrations
29 AU-C 620 Using the Work of an Auditor’s Specialist
ScopeDefinitions of TermsObjectives of AU-C Section 620RequirementsInterpretationsAU-C 620 Illustrations
30 AU-C 700 Forming an Opinion and Reporting on Financial Statements
ScopeDefinitions of TermsObjectives of AU-C Section 700Requirements Forming an OpinionRequirements: Auditor’s Standard ReportRequirements: Reports on Comparative Financial StatementsInterpretationsAU-C 700 Illustrations (Source: AU-C 700.58)
31 AU-C 705 Modifications to the Opinion in the Independent Auditor’s Report
ScopeDefinitions of TermsObjective of AU-C Section 705RequirementsAU-C 705 Illustrations (Source: AU-C 705.A32)
32 AU-C 706 Emphasis-of-Matter Paragraphs and Other-Matter Paragraphs in the Independent Auditor’s Report
ScopeDefinitions of TermsObjectiveRequirementsAU-C 706 Illustrations
33 AU-C 708 Consistency of Financial Statements
ScopeDefinition of TermObjectives of AU-C Section 708Requirements
34 AU-C 720 Other Information in Documents Containing Audited Financial Statements
ScopeDefinitions of TermsObjective of AU-C Section 720RequirementsAU-C 720 Illustration: Other-Matter Paragraph to Disclaim an Opinion on Other Information (from AU-C 720.A13)
35 AU-C 725 Supplementary Information in Relation to the Financial Statements as a Whole
ScopeDefinition of TermObjectives of AU-C Section 725RequirementsInterpretationAU-C 725 Illustrations
36 AU-C 730 Required Supplementary Information
ScopeDefinitions of TermsObjectivesRequirementsAU-C 730 Illustrations
37 AU-C 800 Special Considerations—Audits of Financial Statements Prepared in Accordance with Special Purpose Frameworks
ScopeDefinitions of TermsObjective of AU-C Section 800RequirementsAU-C 800 Illustrations (Source: AU-C 800.A36)
38 AU-C 805 Special Considerations—Audits of Single Financial Statements and Specific Elements, Accounts, or Items of a Financial Statement
ScopeDefinitions of TermsObjective of AU-C Section 805RequirementsInterpretationAU-C 805 Illustrations of Auditor’s Reports on a Single Financial Statement and a Specific Element of a Financial Statement (Source: AU-C 805.A25)
39 AU-C 806 Reporting on Compliance with Aspects of Contractual Agreements or Regulatory Requirements in Connection with Audited Financial Statements
ScopeDefinitions of TermsObjectives of AU-C Section 806RequirementsAU-C 806 Illustrations (Source: AU-C 806.A8)
40 AU-C 810 Engagements to Report on Summary Financial Statements
ScopeDefinitions of TermsObjectives of AU-C Section 810RequirementsAU-C 810 Illustrations (Source: AU-C 810.A22)
41 AU-C 905 Alert That Restricts the Use of the Auditor’s Written Communication
ScopeDefinition of TermObjective of AU-C Section 905RequirementsAU-C 905 Illustrations
42 AU-C 910 Financial Statements Prepared in Accordance with a Financial Reporting Framework Generally Accepted in Another Country
ScopeAU-C Definitions of TermsObjective of AU-C 910RequirementsAU-C 910 Illustrations (Source: AU-C 910.A11)
43 AU-C 915 Reports on Application of Requirements of an Applicable Financial Reporting Framework
ScopeDefinitions of TermsObjectiveRequirementsIllustration: Illustrative Written Report to the Requesting Party (Source: AU-C 915.A8)
44 AU-C 920 Letters for Underwriters and Certain Other Requesting Parties
ScopeDefinitions of TermsObjectives of AU-C Section 920OverviewRequirements: GeneralRequirements: Format and Contents of ComfortRequirements: Commenting-in-a-Comfort-Letter on Information Other Than Audited Financial StatementsRequirements: Other MattersAU-C 920 Illustrations
45 AU-C 925 Filings with the U.S. Securities and Exchange Commission under the Securities Act of 1933
ScopeDefinitions of TermsObjectiveRequirementsAU-C 925 Illustration: Illustrative Disclosures and Reports (Source: AU-C 925.A15)
46 AU-C 930 Interim Financial Information
ScopeDefinition of TermObjectives of AU-C Section 930RequirementsAuditor’s ReportInterim Financial Information Accompanying Audited Financial StatementsAU-C 930 IllustrationsIllustrations of Auditor’s Review Reports on Interim Financial Information (Source: AU-C 930.A57)Illustrations of Example Modifications to the Auditor’s Review Report Due to Departures from the Applicable Financial Reporting Framework (Source: AU-C 930.A58)
47 AU-C 935 Compliance Audits
ScopeDefinitions of TermsObjectives of AU-C Section 935RequirementsAU-C 935 Illustrations
48 AU-C 940 An Audit of Internal Control over Financial Reporting That Is Integrated with an Audit of Financial Statements
ScopeDefinitions of TermsObjectives of AU-C 940RequirementsReporting RequirementsAU-C 940 Illustrations
49 AU-C 945 Auditor Involvement with Exempt Offering Documents
ScopeDefinitions of TermsObjectives of AU-C Section 945Requirements
50 AT-C Preface
AT-C OrganizationAT-C Preface
51 AT-C 105 Concepts Common to All Attestation Engagements
Scope and Written AssertionObjectivesDefinitions of TermsRequirementsInterpretations
52 AT-C 205 Examination Engagements
OverviewObjectivesDefinitions of TermsRequirementsInterpretationsIllustrations (AT-C 205.A121)
53 AT-C 210 Review Engagements
ScopeDefinitions of TermsObjectives of Section 215RequirementsIllustrations—Illustrative Practitioner’s Review Reports
54 AT-C 215 Agreed-Upon Procedures Engagements
ScopeDefinition of TermObjectives of AT-C Section 215RequirementsStatement of PositionIllustrations—Illustrative Practitioner’s Agreed-Upon Procedures Reports (AT-C 215.A48)
55 AT-C 305 Prospective Financial Information
ScopeDefinitions of TermsObjectives—Examination EngagementsObjectives—Agreed-Upon Procedures EngagementsRequirementsReports
56 AT-C 310 Reporting on Pro Forma Financial Information
ScopeDefinitions of TermsObjectives of an Examination EngagementObjectives of a Review EngagementRequirementsIllustrations
57 AT-C 315 Compliance Attestation
ScopeDefinitions of TermsObjectives of an Examination EngagementObjectives of an Agreed-Upon Procedures EngagementRequirements—Examination EngagementsRequirements: Agreed-Upon Procedures Engagement
58 AT-C 320 Reporting on an Examination of Controls at a Service Organization Relevant to User Entities’ Internal Control over Financial Reporting
ScopeDefinitions of TermsObjectives of AT-C Section 320RequirementsIllustration: Type 1 Service Auditor’s Report
59 AT-C 701 Management’s Discussion and Analysis
ScopeDefinition of TermsObjectivesRequirements: ExaminationRequirements: ReviewIllustrations
60 AR-C 60 General Principles for Engagements Performed in Accordance with Statements on Standards for Accounting and Review Services
ScopeDefinitions of TermsTechnical AlertObjectives and Limitations of SSARS EngagementsFundamental Requirements
61 AR-C 70 Preparation of Financial Statements
ScopeObjectives and Limitations of Preparation EngagementsDefinitions of TermsDetermining the Type of EngagementRequirementsIllustration—An Engagement Letter for an Engagement to Prepare Financial Statements in Accordance with Accounting Principles Generally Accepted in the United States of America (AR-C 70.A22)
62 AR-C 80 Compilation Engagements
ScopeObjectives and Limitations of Preparation EngagementsDefinitions of TermsRequirementsIllustrations
63 AR-C 90 Review of Financial Statements
ScopeTechnical AlertObjectivesDefinitions of TermsRequirementsIllustrations: Review Engagement
64 AR-C 100 Special Considerations—International Reporting Issues
ScopeTechnical AlertObjectiveDefinitionsRequirementsReporting
65 AR-C 120 Compilation of Pro Forma Financial Information
ScopeDefinition of TermObjectives of AR-C Section 120RequirementsIllustrations
Appendix A: Definitions of Terms—AU-C Standards
Appendix B: Definitions of Terms—AT-C Standards
Appendix C: Defintions for Preparation, Compilation, and Review—AR-C Standards
Appendix D: Cross-References to SASs, SSAEs, and SSARSs
Appendix E: List of AICPA Audit and Accounting Guides and AICPA Statements of Position—Auditing and Attestation
Appendix F: Other Auditing Publications
Index
End User License Agreement

Content preview from Wiley Practitioner's Guide to GAAS 2020

48AU-C 940 An Audit of Internal Control over Financial Reporting That Is Integrated with an Audit of Financial Statements

Scope

Definitions of Terms

Objectives of AU-C 940

Requirements

Required Conditions for Engagement Acceptance

Evidence Supporting Management’s Assessment

Integrating the Controls Examination with the Financial Statement Audit

Risk Assessment

Using the Work of Others

Planning the Engagement

Use a Top-Down Approach

Testing Controls

Evaluating Control Deficiencies

Forming an Opinion

Reporting Requirements

Adverse Opinions

Report Modifications

SCOPE

AU-C 940 guidance applies only when:

An auditor is engaged to perform an audit of ICFR, and
That audit is integrated with the financial statements audit (integrated audit).

(AU-C 940.01)

DEFINITIONS OF TERMS

Source: AU-C 940.05. For definitions of the terms related to this section, see Appendix A, “Definitions of Terms”: Audit of ICFR, Control objective, Criteria, Detective control, Internal control over financial reporting (ICFR), Management’s assessment about ICFR, Preventive control.

OBJECTIVES OF AU-C 940

AU-C Section 940.04 states that the objectives of the auditor in an audit of ICFR are to:

obtain reasonable assurance about ...

Become an O’Reilly member and get unlimited access to this title plus top books and audiobooks from O’Reilly and nearly 200 top publishers, thousands of courses curated by job role, 150+ live events each month,
and much more.

Read now

Unlock full access

More than 5,000 organizations count on O’Reilly

O’Reilly covers everything we've got, with content to help us build a world-class technology community, upgrade the capabilities and competencies of our teams, and improve overall team performance as well as their engagement.

Julian F.

Head of Cybersecurity

I wanted to learn C and C++, but it didn't click for me until I picked up an O'Reilly book. When I went on the O’Reilly platform, I was astonished to find all the books there, plus live events and sandboxes so you could play around with the technology.

Addison B.

Field Engineer

I’ve been on the O’Reilly platform for more than eight years. I use a couple of learning platforms, but I'm on O'Reilly more than anybody else. When you're there, you start learning. I'm never disappointed.

Amir M.

Data Platform Tech Lead

I'm always learning. So when I got on to O'Reilly, I was like a kid in a candy store. There are playlists. There are answers. There's on-demand training. It's worth its weight in gold, in terms of what it allows me to do.

Mark W.

Embedded Software Engineer

Publisher Resources

ISBN: 9781119596004Purchase book

Cloud Computing

Data Engineering

Data Science

AI & ML

Programming Languages

Software Architecture

IT/Ops

Security

Design

Business