Question 2
ICAN
•
2021
•
AUDIT AND ASSURANCE
•
mixed
Case Stimulus
Your partner invited you and other colleagues to a pre-audit meeting and informed you that the audit of Why Worry Agro Chemical Company Limited will soon commence. He stated that based on experience, the internal control system is not reliable. Therefore, it will be a transaction-based audit approach which will involve high level of substantive testing. He further informed the engagement team that arrangements will be made for a brainstorming session on risk assessment and how to address the risk, using relevant audit assertions. The internal specialists on information technology and tax were invited to the meeting and you have two new audit trainees attached to you on the audit. As the proposed audit senior personnel on the audit team,
Requirements
(
a
)
Substantive audit procedures.
(
b
)
Purpose of risk assessment.
(
c
)
Categories of financial statements audit assertions.
(
d
)
Examples of substantive testing.
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About This Question
This is
Ican
2021
Audit And Assurance
Question 2.
It is one of the
mixed
questions from the
2021
Ican
Audit And Assurance
examination.