Audit and Assurance

When auditors encounter the risk of assessing their own work, this is known as the self-review threat. Apart from their basic services, audit firms frequently offer other services. Accounting, valuation, taxation, and internal audit are some of its examples. When an auditor is required to review work that they previously completed, a self-review threat may arise. For […]

The bad debt is a financial activity that you note down in your books to report for any bad debts that your company has discarded to pile up. If the company is using the accretion accounting, it has to note down the bad debt principles of the expenses. Also, if the company is using principles

The “Test of controls” is a kind of audit process that we do in order to assess whether the customer’s inner control works effectively in detecting or preventing dangers of material misinformation at the level of assertion.  As auditors, we usually try to find the inner controls that can decrease the threats of material misinformation

Auditors mainly issue disclaimers of opinion to reflect that they have been unable to gather substantial or enough audit evidence to help them to conclude the audit opinion on the engagement of the financial statements that they are auditing. This means that the auditors have refrained from presenting any negative or positive judgment regarding the

The auditors issue an unqualified Audit Opinion to notify that the audit has successfully been completed. To the best of the auditors ‘ knowledge, there are no material misstatements in the company’s financial statements. Unqualified Audit Report is issued after the stringent audit process, and it implies that there are no questionable misstatements in the

The audit process involves some cumbersome tasks that need to be executed after a fair degree of planning on the part of auditors. External auditors are supposed to ensure that they are able to plan the audit process in an effective manner so that the main underlying purpose of auditing is not compromised upon. Hence,

The audit process is a cumbersome process that comprises several different techniques that the auditors use to get a clear-cut idea regarding the company’s operations and the extent to which financial statements can be relied upon. Therefore, a plethora of steps is undertaken to gather as much evidence as possible, based on which auditors can

During an audit, the auditor will identify, assess and address any audit and accounting issue or control deficiencies, but all this audit work needs to be summarised and communicated to important internal audit executives or key management personnel as well as those charged with governance. That is why the auditor will then further classify certain

We often come across the term Key Audit Matters in the auditors’ report segment of the audited financial statements of public companies. “Key Audit Matters” is defined by the International Standard of Auditing as those matters that, in the auditor’s professional judgment, are the most significant in the audit of the financial statements of the

We often come across a section in the auditors’ report titled “Emphasis of Matter” when reading through an audit report, especially that of a public listed company. The Emphasis of Matter is a way for the auditor to draw the users’ attention to a matter disclosed in the financial statements or a matter about the