Scribd Logo
Upload

Welcome to Scribd!

  • Risk Assessment: Internal Control - Module 2

    Uploaded by

    Hazem El Sayed
    2 views1 page
    This document discusses risk assessment for a company's financial statements. It explains that risk assessment identifies, analyzes, and manages risks from internal and external events that could affect financial reporting. Some key risks mentioned are changes in operations, new personnel, technology, products, restructuring, and foreign operations. The document also notes the difference between an entity's risk assessment, which aims to manage risks to its objectives, and an auditor's risk assessment, which focuses on the likelihood of misstatements in financial statements.

    Original Description:

    scn-21

    Original Title

    MNS-01

    Copyright

    © © All Rights Reserved

    Available Formats

    RTF, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Report this Document
    This document discusses risk assessment for a company's financial statements. It explains that risk assessment identifies, analyzes, and manages risks from internal and external events that could affect financial reporting. Some key risks mentioned are changes in operations, new personnel, technology, products, restructuring, and foreign operations. The document also notes the difference between an entity's risk assessment, which aims to manage risks to its objectives, and an auditor's risk assessment, which focuses on the likelihood of misstatements in financial statements.

    Copyright:

    © All Rights Reserved
    Download as RTF, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    2 views1 page

    Risk Assessment: Internal Control - Module 2

    Uploaded by

    Hazem El Sayed
    This document discusses risk assessment for a company's financial statements. It explains that risk assessment identifies, analyzes, and manages risks from internal and external events that could affect financial reporting. Some key risks mentioned are changes in operations, new personnel, technology, products, restructuring, and foreign operations. The document also notes the difference between an entity's risk assessment, which aims to manage risks to its objectives, and an auditor's risk assessment, which focuses on the likelihood of misstatements in financial statements.

    Copyright:

    © All Rights Reserved
    Download as RTF, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    of 1

    Risk Assessment

    Risk assessment addresses how the company identifies, ana~y~~s, & manages risk

    Risks relevant to preparation of financial statements are affected by internal & external events &
    circumstances
     Changes in operating environment
     New personnel
    New information systems

     Rapid
    growth
     New technology
     New lines, products, or activities
     Corporate restructuring

     Foreign operations
     Accounting
    pronouncements

    Focus on
    Internal Control - Module 2 42

    Entity vs Auditor Risk Assessment

    Entity-designed to identify, analyze, and manage risks that affect entity's objectives
    Auditor-involves assessment of inherent risk and control risk@>valuate likelihood of material
    misstatements occurring in financial statements

    Focus on
    Internal Control - Module 2 43

    You might also like