Strong substantive analytic procedures are critical for a quality and profitable audit engagement. This course will provide specific illustrations of how to strengthen and improve the design, documentation and results of analytical procedures.
Course ID: LAPA
Leveraging Analytical Procedures to the Fullest on Audits – Case Studies in Strengthening Analytic Evidence
- Describe the importance of strong analytic procedures to an effective and efficient audit
- Explain various methods for strengthening substantive analytic procedures
- Apply tools and techniques for designing, performing, and interpreting the results of solid analytical procedures to improve financial analysis and performance measurement
- Explain how analytical procedures are evaluations of financial information made by a study of plausible relationships among both financial and nonfinancial data
- Discuss how analytical procedures usually involve comparing recorded amounts, or ratios of recorded amounts, to expectations developed.
- Describe that when properly performed, analytical procedures represent an effective way to enhance quality, improve efficiency, and add value to the financial statement audit process
- Understand that to be useful, analytics require a true understanding of the industry, results of operations, risks, and financial statement reporting objectives
- Illustrations of “real-life” examples of improving the strength of analytical procedures.