CPA Crossings Subscription: Audit Skills for Beginners

After attending this presentation, you will be able to...

• Recall how to avoid litigation risk in bookkeeping services
• Recall the basis and requirements for a compilation contrasted with preparing financial statements
• Identify special purpose framework and other issues
• Recognize the basis and requirements for a review
• Recall the basis and fundamental requirements for an audit

• The major topics that will be covered in this course include:

  Course 1: Audit 101: AICPAs Code of Professional Conduct Principles

  CPE: 2

  Description: AICPAs Code of Professional Conduct

• as a whole will provide an overview of the basic principles of the AICPA's Code of Professional Conduct with practical implementation examples. CPAs must seamlessly transition to a profession that relies heavily on conformance with technical and ethical standards. It is critical for CPAs to seek to serve the public interest with a strong sense of character, integrity, competence, and due professional care. In addition, CPAs must appropriately safeguard any threats to independence and objectivity.

  Course 2: Audit 102: Professional Skepticism

• Finding Fraud and Error

  CPE: 2

  Description: Professional Skepticism is a critical skill for audit and other attest services. The public places a high value on assurance services provided by an external public accountant, as the CPA's involvement directly enhances the degree of confidence intended users can place on the financial statements to make economic decisions. A proper mindset, including professional skepticism, is a critical feature of a high-quality audit or other attest service. Professional skepticism is an essential attitude that enhances the ability to identify and respond to conditions that may indicate possible material misstatement, whether due to fraud or error.

  Course 3: Audit 103: Adapting to the Engagement

• Complying with SSARS

  CPE: 2

  Description: Adapting to the Engagement is a critical foundational course. A CPA may perform various attest services under relevant professional standards, including compilations, reviews and audits. Reviews and audits are also considered assurance services, providing either limited or reasonable assurance that financial statements are free of material misstatement. In addition, the CPA may perform non-attest services, such as bookkeeping or preparation of financial statements. CPAs must fully understand the professional responsibilities related to each of these varying levels of services, in order to effectively and efficiently satisfy engagement objectives.

  Course 4: Audit 104: Audit Documentation

• Workpapers To Pass Review

  CPE: 2

  Description: Audit Documentation is an important foundational course. Proper documentation is essential to a high-quality audit and other assurance services, as auditors are required to prepare and maintain documentation to demonstrate that sufficient and appropriate audit evidence was obtained to support the auditor's opinion. It is critical for workpapers to provide a clear understanding of the nature, timing and extent of procedures applied, the results of those procedures, source of evidence obtained, and conclusions reached. Both audit effectiveness and efficiency are directly impacted by the nature and extent of audit documentation.

  Course 5: Audit 105: The Audit Risk Model

• Foundational Principles

  CPE: 2

  Description: The Audit Risk Model is a critical foundational course. Financial statement auditors are engaged to provide reasonable assurance that financial statements are not materially misstated, whether due to fraud or error. Professional standards require auditors to obtain sufficient and appropriate evidence to support that opinion. It is critical for effective and efficient auditors to have a clear understanding of all the important elements and concepts related to properly identifying, evaluating, and deciding how to respond to risk in a financial statement audit.

  Course 6: Audit 106: Internal Control Fundamentals

• Evaluating Design

  CPE: 2

  Description: Internal Control Fundamentals is a critical foundational course. 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.

  Course 7: Audit 107: Auditing Cash

• Applying Basic Audit Skills

  CPE: 2

  Description: Auditing Cash

• Applying Basic Skills demonstrates how the approach to auditing different cash accounts may vary and how to strengthen inquiry which is an important audit procedure in this area. Cash tends to be one of the first areas assigned to new auditors, as there is typically little complexity and subjectivity involved. In addition, persuasive audit evidence from a third-party is generally available. However, research shows that around 80% of asset misappropriation relates to cash. Therefore, the audit of accounts and classes of disclosures related to cash and cash equivalents does tend to carry some level of risk of material misstatement.

  Course 8: Audit 108: Auditing PP&E and Leases

• Common Risks

  CPE: 2

  Description: Auditing PP&E, Including Leases will address tips and techniques for auditing tangible long-lived assets for various assessed risk levels, with a special emphasis on lease accounting under Topic 842. Property, plant and equipment can range from a low-risk to a high-risk audit area, depending on the nature of transaction and events engaged in by the reporting entity. Construction, capitalized interest and complex leasing arrangements tend to result in higher risk of material misstatement.