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19 Cards in this Set
- Front
- Back
Audit Repor: users ___ on to provide _____ in FS and used to explain _____ and _____ of _____taken for FS
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rely on audit report to provide ASSURANCE in fs and used to explain character and degree of responsbility taken for fs
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7 Parts to an SUAR:
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Report Tittle
Address Introductory Scope Opinion Name of Firm Audit Report Date |
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Introductory Par says 3 things:
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audit has been done
which FS have been audited that FS are responsbility of management and firms repons is to provide assurance |
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Scope par says 2 things
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how audit designed and to provide reasonable assurance that fs is free of mistatement
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Opinion indicates that
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conclusion was based on professional judgement and that followed GAAP or IFRS
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Use the SUAR if...
All FS (which are...) ______ _____ have been followed according to _______ ______ has been accumulated No circumstance to add ____ or _____ In accordance with ______ |
(bs, is, cf, r/e) included
standards, engagement sufficient evidence explanatory paragraph or mod wording which ever principles |
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Unqualified w/ Explanatory Paragraph
- # of paragraphs - explanatory par is... |
4
after opinion |
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Reasons why you would use Unqualified w/ Explanatory or modified
(explain) - Consistency Exception - change in computing depreciation - substantial doubt about going concern - auditor agrees with departure from gaap - emphasis of matter - reports involving other auditors (assume all respon, share respon, no respon or material qualification) |
- change affecting consistency such change in acc principle/reporting entities like adding an add company/correction of errors involving princples
- depreciation - significant recurring losses, inability to pay debt, occurence of catatrophes, legal proceedings (for reasonable period) - due to perhaps a federal legislation that has not yet reached gaap - impt events before/after balance sheet date - (all - SUAR, share - MODIFIED wording, none - qualified |
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Two reasons for qualifications, and what you would do is based on ______
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GAAP Departure and Limitation of Scope; materiality
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Material and GAAP Departure
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Qualified in opinion only
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Material and Limited Scope
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Qualified in Opinion and Scope
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High Material and GAAP Departure
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Adverse
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High Material and Limited Scope
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Disclaimer
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Any material and lack of independence
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DISCLAIMER!
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Qualified in opinion
-# par - if new par, where - any mod? |
4, before opinion, modified opinion
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Qualified in Opinon & Scope
-# par - if new par, where - any mod? |
4, before opinion, modified opinion and scope
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Adverse
-# par - if new par, where - any mod? |
4, before opinion, modified opinion
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Disclaimer
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3, before opinion, ELIMINATE SCOPE and modify intro and opinion
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Using IAAS and how comes into the audit reports
- what is modified to say that also used IAAS? |
- scope paragraph
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