- NY Credits : 4.0
- TX Credits : 4.0
Risk-based auditing is the methodology that is used when performing public company audits. The underlying principles to risk-based auditing are assessing risks and materiality. This course explains how to assess risks of material misstatements and then how to alter audit procedures at the assertion level. This basic level course is most beneficial to professionals new to this topic who may be at the staff or entry level in organization but also for a seasoned professional with limited exposure to this topic.
Upon successful completion of this course, the user should be able to:
list how the concepts of audit risk apply to the conduct of an audit;
describe the concepts of planning as they relate to conducting an audit;
discuss materiality in the planning and performing of an audit;
cite the procedures used to establish materiality levels and tolerances;
describe the auditor's responsibilities for performing risk assessment procedures;
summarize the steps used to identify and assess the risks of material misstatement; and
name the actions that should be taken when risks of material misstatement are encountered.