Audit planning: a practical approach to address our weaknesses

ISA 300, Planning an Audit of Financial Statements, requires that at the planning stage of the audit, the auditor should establish an overall strategy for the audit, develop an audit plan, and reduce audit risk to an acceptably low level. The standard also requires that: ‘’Auditors should plan the audit work so that the engagement is performed in an effective manner’’

Assessing audit risk and inherent risk is an essential part of audit planning because it determines the quantity and quality of evidence that will need to be gathered and the staff that need to be assigned to the particular audit.

With practical examples the presentation will focus on the how an auditor should plan and audit keeping in mind the SME reality and how this should be used to devise an appropriate audit strategy. Apart from ISA 300, the Standards to be tackled also include:

1. ISA 315, Identifying and Assessing the Risks of Material Misstatement through Understanding the Entity and Its Environment
2. ISA 320, Materiality in Planning and Performing an Audit
3. ISA 330, The Auditor’s Responses to Assessed Risks ISA 520, Analytical Procedures

The seminar will also focus on how to identify high risk areas at planning stage such as accounting estimates and the involvement of related parties and how these affect the audit plan.

Date:

Friday 13th November 2020

Time-table:

13:45hrs – 17:15hrs

CPE Accreditation:

3 core hours

Tutors:

John Debattista