24 April 2012
Respected sir, i am unable to understand the following terms in Audit: 1. Complaince Procedure. 2. substantive Procedure 3. Analytical review procedure.
Please explain in simple landuage and in detail...
Thanks in advance..
also i have a doubt that how should i prepare SA's for IPCC exam...
25 April 2012
One more query is i am refering surbhi Bansal's book and i am unable to understand a topic :
Limitations of Audit Program: 1.Lack of initiative: Hard and fast program hurts the initiative and judgement skills of hard working assistants. 2.Shelter for inefficient assistants:they think it contains exhaustive matters.They don't even think of any unusual matter which is not listed in the program even if its presence can change audit approach.
27 April 2012
compliance procedures are applied to test the internal control system in the entity. in these procedures we check the existence of ICS during the whole period and its effectiveness during the period.
While substantive procedures are used for testing the reliability of the data generated by the accounting system of the entity.
Analytical Review Procedures is a type of substantive proc. in this procedure we have to perform Ratio & Trend analysis.
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