DESCRIPTION
This module focuses on the evaluation of audit evidence near the end of the engagement, where auditors must often exercise critical thinking and professional judgment. Using a series of five real-life audit misstatement scenarios, participants will receive hands-on practice classifying misstatements as factual, judgmental, or projected, and creating a plan to properly document and communicate the error or misstatement. Participants will learn how to apply adaptive critical thinking to evaluate misstatements and ensure all necessary information has been considered when arriving at a conclusion.
LEARNING OBJECTIVES
- Explain professional standards requirements related to evaluating and documenting results of substantive audit procedures
- Apply professional judgment to decide appropriate actions when misstatements are identified
- Demonstrate clear, professional communication skills when explaining audit findings, misstatements, and conclusions in workpaper documentation and when navigating challenging discussions with clients
