According to Generally Accepted Auditing Standards,the Relevant Aspects of a Control

question 22

Essay

According to generally accepted auditing standards,the relevant aspects of a control system over the preparation of accounting estimates include:
 Identifying where accounting estimates are required.
 Gathering relevant,sufficient,and reliable data for the estimates.
 Developing assumptions about the estimates.
 Preparation of estimates by qualified personnel.
 Adequate review and approval by appropriate levels of authority.
 Comparison of previous estimates with actual results.
 Consideration by management of whether the accounting estimates are reasonable and consistent with the company's operational plans.
Required:
A)How would the auditor test controls over the preparation of accounting estimates?
B)What substantive audit procedures could the auditor use in testing the estimates?

• A)How would the auditor test controls over the preparation of accounting estimates?
• B)What substantive audit procedures could the auditor use in testing the estimates?

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Definitions:

Toileting

The process of assisting a patient with using the toilet, often involving support with mobility and personal hygiene.

Mechanical Restraints

Devices or equipment used to restrict a person’s movements to prevent harm to themselves or others, typically used in medical or psychiatric settings.

Government Standards

Regulations and guidelines established by governmental bodies to ensure products and services meet minimum safety, quality, and efficiency requirements.

Alternative Measures

Strategies or methods used in addition to or instead of standard ones to achieve the same goals.