Instructor for this course

Part Two of this series focuses on the objective of the auditor and their professional responsibility, evaluating audit risk and audit evidence per Auditing Standard (AS) 15, conducting the audit, application to small and governmental entities and audit reporting per AU 508.   

The American Institute of Certified Public Accountants (AICPA) AU-C Section 200 Standards address Overall Objectives of the Independent Auditor and the Conduct of an Audit in Accordance with Generally Accepted Auditing Standards. The statements contain conceptual principles that shape the objectives of an audit, and broad, overarching requirements that govern an audit’s conduct. They address the overall responsibilities of the independent auditor when conducting an audit of financial statements (FS) in accordance with U.S. generally accepted auditing standards (GAAS).

GAAS are developed and issued in the form of Statements on Auditing Standards (SAS) and are codified into Audit Clarity Sections (AU-C sections).  GAAS are written in the context of an audit of financial statement evaluation by an auditor.

  • They can be adapted in the circumstances when applied to other engagements conducted in accordance with GAAS:
    • Audits of other historical financial information
    • Compliance audits
    • Audits of internal control over financial reporting (ICFR) that are integrated with audits of financial statements. 

Learning Objectives

  • Identify the objective of the auditor
  • Explore the concepts of due diligence, professional skepticism and professional judgment.
  • Explore the requirements of audit evidence per Auditing Standard (AS) 15.
  • Identify the components of audit risk, and recognize the meaning of control risk, inherent risk and detection risk.
  • Identify the auditor’s responsibilities when conducting an audit per AU Section 200, and explore the concept of materiality.
  • Identify requirements of conducting the audit as applied to small entities and governmental entities per AU Section 200.
Last updated/reviewed: November 10, 2019


Course Complexity: Intermediate

No Advanced Preparation or Prerequisites are needed for this course. However, it is recommended to take the other courses in the series prior to completing this one.

Education Provider Information

Illumeo, Inc., 75 East Santa Clara St., Suite 1215, San Jose, CA 95113
For more information regarding this course, including complaint and cancellation policies, please contact our offices at (408) 400- 3993 or send an e-mail to .
Course Syllabus
  3:56Introduction to AU-C Section 200 Independent Auditor and the Conduct of an Audit in Accordance with GAAS - Part 2
  9:46Objective of the Auditor
  11:19Independence and Due Care
  13:57Professional Septicism and Judgment
  8:21Audit Evidence AS 15
  3:21Audit Risk
  2:55Conduct of an Audit AU-Section 200
  7:35Small Entities Govenmental Entities
  1:07:58AU-C Section 200 Independent Auditor and the Conduct of an Audit in Accordance with GAAS - Part 2 Full Video
  PDFSlides: AU-C Section 200 Part 2
  PDFSlides: AU-C Section 200 Part 2 Glossary/Index