This introductory course takes a deep look into understanding key controls and how they link to your assessed risks of material misstatement. We will briefly cover risk assessment and the determination of the risk of material misstatement. Then, the class will dive deep into the understanding of controls and how the linkage of key controls to the risk of material misstatement at the relevant assertion is important for your audits.

Many times, an audit will have an internal control walkthrough without really addressing the key controls for the assessed risks of material misstatement. This class will use examples to show a way of distilling these walkthroughs into identifying those internal controls and how they address risks at the relevant assertion level.

The goal at the end of this course is to help you identify the key controls in your audits, to better refine your audit approach and have a more efficient audit while improving your quality.

Course Key Concept: Audit, Relevant Assertion, Internal Control, Control walkthrough, controls, IC, COSO, Assertion, Key Control, RMM, material misstatement, efficiency, quality, risk assessment.

Learning Objectives
  • Recognize Key Controls.
  • Explore the linkage between Relevant Assertion and Key Control.
  • Identify the difference between a control and a process.
Last updated/reviewed: August 12, 2023
8 Reviews (32 ratings)


Member's Profile
Good course, but one of the exam questions was misworded. It says something like "receipt of cash and deposit of cash are performed by someone who doesn't have access to cash."

Member's Profile
This is a good explanation of the steps needed for evaluating controls for RMM accounts, and the Design, Implementation, Effectiveness (DIE) Method,

Anonymous Author
Excellent examples of controls vs. processes. Good review of entity level - an over arching controls vs. RMM accounts.

Anonymous Author
This is a very good course to understand risk involving material accounts and impact to the financial statements.

Anonymous Author
This course provides an understanding of what makes a good key control for material misstatement accounts.

Anonymous Author
Good introduction to RMM and DIE method and good, quick delivery of materia

Anonymous Author
Pretty good rundown of the topic. Slides could look more professional.

Member's Profile
Provides a good overview of how to determine risk and RMM.

Course Complexity: Foundational

No advanced preparation or prerequisites are required for this course.

Education Provider Information
Company: Illumeo, Inc., 75 East Santa Clara St., Suite 1215, San Jose, CA 95113
Contact: 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 .
Instructor for this course
Course Syllabus
  Introduction to Understanding Key Controls for Risk of Material Misstatement Accounts1:08
  Risk Assessment 8:59
  RMM Accounts2:37
  Relevant Assertions 7:48
  Controls and Control Risk5:39
  Key Controls1:12
  D.I.E. Method7:20
  Control Vs A Process7:30
  Testing Controls3:10
  Understanding Key Controls for Risk of Material Misstatement Accounts47:13
  Slides: Understanding Key Controls for Risk of Material Misstatement AccountsPDF
  Understanding Key Controls for Risk of Material Misstatement Accounts Glossary/ IndexPDF