Description

Obtaining an understanding of the entity and its environment is part of assessing risk of material misstatement, in order to design the nature, timing and extent of further audit procedures necessary to obtain sufficient appropriate audit evidence to support the auditor’s report. A critical component of understanding the entity and its environment is to evaluate the design and implementation of internal control over financial reporting.

Major Topics:

• Responsibilities for gaining an understanding of the entity and its environment
• The inter-relationship of the five foundational components of the COSO Internal Control – Integrated Framework
• Various methods for documenting and evaluating the design and implementation of internal control over financial reporting
• Identifying critical elements of entity-level and transactional-level controls
• Case studies related to identifying deficiencies in internal control documentation