a. The first generally accepted auditing standard of field work requires, in part, that "the work is to be adequately planned." An effective tool that aids the auditor in adequately planning the work is an audit program.

Required: Describe an audit program and the purposes it serves.

b. Auditors frequently refer to "standards" and "procedures." Standards are measures of the quality of the auditor's performance. Standards specifically refer to the 10 generally accepted auditing standards. Procedures relate to acts that the auditor performs while trying to gather evidence. Procedures specifically refer to the methods or techniques the auditor uses in conducting the examination.

Required: List at least eight different types of procedures an auditor would use in examining financial statements. For example, a type of procedure an auditor would use frequently is the observation of activities and conditions. Do not discuss specific accounts.