ASPC AASC

BOA Recomm
PICPA and
ACPAPP
Professional
Commis
established

replaced by
ASPC

promulgate audit

SASP

PAPSs

PREPs

PAEPs

PRSPs
 BOA Recommendation

Professional Regulation
Commission
created
composed of a chairman
AASC ISAs

promulgate auditing standards

ISAEs
attained
uniformity thru by
Pronouncements Adoption of:
ISREs
in the form of
E
n for audit of
PSAs historical FS ISRSs
g
a
g for review of
e
PSREs historical FS
m
e for assurance
n PSAEs engagements
t
S for compilation
t PSRSs engagements
a
n are to be applied for
PSQCsd all services
a
r
d
s
IFAC
to improve the quality of decision; Objectives Definition
enhance credibility of information Assurance Engagements

Classifications Elements

According to level 3 Party Relationship

*Practitioner- Auditor
*Reasonable Assurance Engagement *Responsible Party
reduction of risk to acceptably low level *Intended User- For whom

*Limited Assurance Engagement Appropriate subject matter

risk is greater; negative form of expression *Financial performance representation
*Physical characteristics
According to structure *Systems & processes
*Behavior
*Assertion-based Engagement
evaluation of subject matter is performed by Suitable Criteria
engagement partner *Benchmarks to evaluate subject matter

*Direct Reporting Engagement Sufficient Appropriate Evidence

practitioner either directly performs the
evaluation or obatain representation from
responsible party to the intended users
engagement designed to enhance the
degree of confidence of the intended
users

Limitations

Use of SELECTIVE TESTING

INHERENT LIMITATIONS

NATURE of EVIDENCE

Use of JUDGMENT
 Assurance Engagem

Types

high level of
Audits assurance

limited level of
Reviews assurance

assurance to users of
CPA Web Trust web sites

whether caregivers are

Eldercare Plus providing services

Information test of system

Reliability Services

Risk assessment link between risk and

organization's vision
Services

Health Care quality of health care

Performance
Measurement
 by
Engagements Provided Practitioners

Assurance Engagements Non-assurance Engagements

Agreed-upon
practitioner expresses
Risks Procedures
inappropriate conclusion

non/Financial Info
high level of Inherent Risks susceptibility of subject matter
assurance

limited level of not prvented and detected ;

Control Risks ineffective IC Tax Returns
assurance

practioner will not detect

assurance to users of Detection Risks misstatements MAS
web sites

whether caregivers are

providing services

test of system

link between risk and

organization's vision

quality of health care

surance Engagements

Agreed-upon
Procedures

non/Financial Info

Tax Returns

MAS
 Auditor's Asses
High
High lowest
Auditor's assessment Medium lower
inherent risk
Low Medium
Auditor's Assessment of CR
Medium Low
Lower Medium
Medium High
Higher Highest