Example Service Organization’s Statements

 


Comments

Post a Comment

Popular posts from this blog

Why do auditors use assertions?

Image
  Assertions are representations by management that are embodied in the financial statements and used by the auditor to consider the different types of potential misstatements that may occur. Assertions may fall into the following categories: Assertions about classes of transactions and events, and related disclosures, for the period under audit : ·         Occurrence —transactions and events that have been recorded or disclosed have occurred, and such transactions and events are related to the company. ·         Completeness —all transactions and events that should have been recorded have been recorded, and all related disclosures that should have been included in the financial statements have been included.   ·         Accuracy —amounts and other data relating to recorded transactions and events have been recorded appropriately, and related disclosures have been app...
Read more

Audit procedures for cash flow statements

Image
  Auditors express an audit opinion on the set of financial statements which comprises of the statement of financial position, the statement of comprehensive income, the statement of changes in equity, the statement of cash flows and notes to the financial statements, including a summary of significant accounting policies for reporting year. Thus, the cash flow statement is also audited alongside other components of the financial statements. But unlike the statement of financial position and the statement of comprehensive income the auditors do not perform the tests of control and substantive procedures with respect to the statement of cash flows.
Read more