Audit risk and audit evidence.pptVIP

Chapter 5: Audit risk and audit evidence  Learning Objectives Explain the importance of the concept of audit risk its three components Describe the relationship between audit risk and audit evidence Define the concept of materiality used in auditing State how the auditor arrives at judgements about materiality at the financial statement level and in relation to individual account balances Describe the relationship between materiality and audit evidence Learning Objectives State the categories of management’s financial statement assertions Derive specific audit objectives from the categorie