In recent years, against the background of the global economic downturn and the COVID-19, the market entities have increased their operational risks and financial fraud has occurred from time to time. As the "gatekeeper" of the market economy, the certified public accountant has a more complex practice environment, and the audit risk is on the rise.
How to implement the risk-oriented audit concept, apply limited audit resources to major risk areas, improve the pertinence of the implementation of audit procedures, and obtain sufficient and appropriate audit evidence is an important issue of audit quality management.
In order to provide operational risk-oriented audit practice guidance for the majority of certified public accountants in the front line of practice, Daxin China organized partners, senior managers and other experts to compile the "risk-oriented audit practice".
This book takes the preparation of financial statement audit working paper as the main line and covers the whole process of audit work, including preliminary business activities, risk assessment, internal control testing, substantive testing, specific projects, audit completion, etc.
In view of the hot and difficult points in practice, it also introduces the identification and response of financial fraud, information technology audit, special industry audit, and the application of audit methods.
Main features of this book:
First, problem-oriented, risk-oriented concept runs through the whole process. For example, the substantive testing part starts from the analysis of risk areas, then summarizes common audit problems, and finally puts forward the audit focus on risk points, so that the certified public accountants not only know what it is, but also know why it is.
The second is to highlight the key points. The audit work should be detailed and appropriate to avoid the average effort. This book systematically summarizes the key and difficult problems in practice, as well as the countermeasures, with strong pertinence.
Third, there are rich cases, most of which are from real audit practices, and are typical and universal. Certified public accountants can draw inferences about negative cases, so that similar problems will not occur again. At the same time, the rich cases also enhance the readability of this book.
Fourth, it is highly operational. The interpretation of the audit procedure in this book is different from the template of the audit manuscript left only in the form. It discusses how to implement the audit procedure, what audit evidence to collect, what data to analyze, and to what extent. It is highly practical.
Chapter I Audit Work Operation Process
Chapter II Audit Work Draft Specification
Chapter III Preliminary Business Activities
Chapter IV Risk Assessment and Audit Plan
Chapter V Understand and test the internal control at the business level
Chapter VI Substantive Testing
Chapter VII Consideration of special industry or business audit
Chapter VIII Financial Fraud Audit Practice
Chapter IX Working Papers of Other Projects
Chapter X Work at Completion Stage
Chapter XI Information Technology Audit Practice
Chapter XII Audit Methods and Techniques