Assignment

1. Your textbook has a summary of the audit process on page 96. Explain the purpose and each of the key components or steps of Phase I, plan and design an audit approach. Use the subsequent material for each of these steps or components as well as any online sources that you find to help you explain the steps.

2. Your textbook has a summary of the audit process on page 96. Explain the purpose and each of the key components or steps of Phase I I, perform tests of controls and substantive tests of transactions. Use the subsequent material for each of these steps or components as well as any online sources that you find to help you explain the steps.

3. Your textbook has a summary of the audit process on page 96. Explain the purpose and each of the key components or steps of Phase III, perform substantive analytical procedures and tests of details of balances. Use the subsequent material for each of these steps or components as well as any online sources that you find to help you explain the steps.

4. Your textbook has a summary of the audit process on page 96. Explain the purpose and each of the key components or steps of Phase IV, complete the audit and issue and audit report. Use the subsequent material for each of these steps or components as well as any online sources that you find to help you explain the steps.

5. Explain issues that auditors consider before accepting or retaining an audit client - and the sources of information that they use to make that decision.

6. Explain the information auditors gather to gain a basic understanding of the auditee and their environment.

7. Explain why ratios are used in performing preliminary analytical procedures. How do preliminary analytical procedures begin to identify potential risk areas?

8. Explain what types and sources of information auditors use to assess inherent risk.

Text Book: Auditing by James Peters, Editors: Dr. Sharon Levin, Dr. Dori Lombard and Dr. Larry Wolod.