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; STANDARDS ON AUDITING ‘SA 520" Analytical Procedure Meaning Blnear end of aut when forming an Va 1 sible relationship among bot Analytical Procedure means evaluation of Financial Information by plat nshi Qn ' ‘franco & oncan lonfinancial data and investigation of identified fluctuations that are inconsistent with other relevant information, Qo (Consideration) to be kept while performing At -al Procedure Requirement (Analytical ‘rocedure used as substantive tests) — When designing & performing substance analytical procedure, auditor shall © (@pdetermine the SaRabiTTgfo SAT forgiven assertions taking asses risk of MM Q (Evaluate Feabty of data from which auditors expectation of recorded amount or ratios is" developed aesken Misty QjroFollowing are relevant for determining whethe cliabieYor designing SAP \ “2 \stty eB Dola ee cain) Cevkene! | AF LL Qatehitity eB Oo » infor yn avail Ceylon mere relvebled ‘{Souree{oF{information availabld eo ee TESA NEE oe > Coniparability information available ) > Nature and felevance'offnformation available ) > Controls over preparation offnformatonto ensure its completeness, accuracy & validity @o PEETatibafof recorded amt. or ratios —> & Evaliiate expectation is sufficiently precise = to identify whether misstatement cause FS misstated ® (A) Determine/ difference] jof recorded amount from, oe recorded amount {0 + Inquiry of mgt. & obtain S & A Evidence «Perform ANEMUES audit procedures icated predictive model may be effective as an Analytical In case of payroll cost— When entity has known number of emplayees fixed rate of pa “can use this data to calculate total payroll cost, reducing ne to perfornytest of details. ) In case of room rental income —(Different analytical cedure) provide(ditferent levels of In some cases, even an unsophi Procedure. assuranc diction of total incomesroom rates, provide: evidenes> reducing need 10 perform fest of details) ducing need OQny Qoditer use Prolytcel Procelurt , Yeaulls sewed Inconsiskenctes . Stolp whet action auivin aheolb take to ens that Ror uscut! be conerned te 0 Lous level Qnel as por matedellty \rvel- $1 STP onalyltel morecedores gen Fess Ft Ra Oar BY CAATUL AGARWAL 97 chet mm Unpeckd Nalve a Wan AIRCA FINAL 5, gySiien Sanh nvatingle dh GARRace Nap! pgge 31 O Dede evidiore gelevent Ao _froregimen vapaciss troy bbe chtotned by evaleoting dhote Revpursis lattes, Info otceont dhe ovdilers ndeasbndiny 9B Abe enlily & Yb eravenmet 6 ete audit ae ablained cleriny covree © audit. The ated As wt Qroced hea, or O The owed Ap on pamage sides ner ontze hea ,kogether with audit Trot Considencd adeqeake

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