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15 Cards in this Set
- Front
- Back
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Commitments
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Agreements that the entity will hold to a fixed set of conditions, such as the purchase or sale of merchandise at a stated price, at a future date, regardless of what happens to profits or to the economy as a whole
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Completing the Engagement Checklist
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A reminder to the auditor of aspects of the audit that may have been overlooked
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Contingent Liability
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A potential future obligation to an outside party for an unknown amount resulting from activities that have alread taken place
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Dual-Dated Audit Report
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The use of one audit report date for normal subsequent events and a later date for one or more subsequent events that come to the auditor's attention after the field work has been completed
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Financial Statement Disclosure Checklist
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A questionnaire that reminds the auditor of disclosure problems commonly encountered in audits and that facilitates final review of the entire audit by an independent partner
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Independent Review
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A review of the financial statement and the entire set of audit files by a completely independent reviewer to whom the audit team must justify the evidence accumulated and the conclusions reached
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Inquiry of the Client's Attorneys
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A letter from the client's legal counsel informing the auditor of pending litigation or any other information involving legal consel that is relevant to financial statement disclosure
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Letter of Representation
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A written communication from the client to the auditor formalizingstatements that the client has made about matters pertinent to the audit
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Management Letter
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An optional letter written by the auditor to a client's management containing the auditor's recommendations for improving any aspect of the client's business
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Other Information included in Annual Reports
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Information that is not a part of published financial statements but is published with them; auditors must read this information for inconsistencies with the financial statements
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Review for Subsequent Events
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The auditing procedures performed by auditors to identify and evaluate subsequent events; also known as a post-balance-sheet-review
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Review of Audit Documentation
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A review of the completed audit files by another member of the audit firm to ensure quality and counteract bias
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Subsequent Events
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Transactions and other pertinent events that occurred after the balance sheet date that affect the fair presentation or disclsure of the statements being audited
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Unadjusted Misstatement Audit Schedule
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A summary of immaterial misstatements not adjusted at the time they were found, used to help the auditor assess whether the combined amount is material; also known as a summary of possible misstatements
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Unasserted Claim
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A potential legal claim against a client where the condition for a claim exists but no claim has been filed
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