Performing an Effective Audit Risk Assessment in the COVID-19 Environment (RAC4)

Salepage : Performing an Effective Audit Risk Assessment in the COVID-19 Environment (RAC4)

Archive : Performing an Effective Audit Risk Assessment in the COVID-19 Environment (RAC4)

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Category:

Accounting and Auditing

Faculty:

Michael J. Morgan, CPA

Course Levels:

Basic

Duration:

4

License:

Access for 90 day(s) after program date.

Recent auditing standards and peer review feedback have emphasized the importance of performing an effective risk assessment when identifying and evaluating the risk of material misstatement in a financial statement audit. These risk assessment procedures include both evaluating the design and implementation of internal controls, as well as determining how much reliance an auditor will place on those controls. Further, the risk assessment process provides the rationale for effectively and efficiently designing the nature, timing, and extent of further audit procedures, be they testing the operating effectiveness of internal controls or the performance of substantive audit procedures. While this requirement of an effective audit hasn’t changed, the level of risk brought about due to emerging accounting and disclosure issues brought on by the pandemic coupled with the new ways we will be required to obtain the information to assess risk and internal control stressors on our clients, certainly has. This course will focus on how to utilize a risk-based approach in audit engagements to enhance audit quality, with an emphasis on how to comply with the professional requirements in a virtual environment. As auditors continue to struggle with effective and efficient execution of the Risk Assessment Standards, it’s likely these struggles will increase in the new virtual reality. This course will give you a jump start on determining how you can comply with professional standards as you and your clients adapt to new working conditions.

Major Topics

Audit process and planning

Setting materiality

Assessing the risk of material misstatement and the design and implementation of internal controls

Assessing the impact on the assessment of internal controls in a changing work environment

Designing procedures to test the effectiveness of controls

Designing procedures to perform substantive procedures

Challenges in performing audit procedures in a virtual environment

Performing and evaluating interim and year-end tests of control and substantive procedures

Final audit procedures and wrap up

Learning Objectives

Recall key concepts in the risk assessment standards, including various requirements

Recognize how to implement the standards in practice

Identify approaches to comply with professional standards while auditing in a virtual environment

Designed for

All auditors involved in applying the risk assessment requirements

Level of Knowledge

Basic

Prerequisite

None

Advanced Preparation

None

Credits

4

Field of Study:

Auditing (Technical) (4)

CFP Credits:

No

IRS Approved:

No

Yellow Book:

No