Can anyone answer this auditing question?

System
System Posts: 100,534 🤖 Admin 🤖
edited 10:28AM in AAT student discussion
Your new junior cannot understand how youcan give an unqualified report when you have not checked everything. Please explain how you are able to do this?

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  • System
    System Posts: 100,534 🤖 Admin 🤖
    Can anyone answer this auditing question?

    The audit opinion clearly states that you have gathered sufficient evidence to give reasonable assurance (i.e. you have got enough to make you happy, but you've not checked everything)<BR><BR>It also says that an audit is performed on a test basis (again, you haven't tested everything, only a sample)<BR><BR>We also say that we are reasonably sure the FS are free from material misstatements, therfore not saying 100% correct, but all the important errors should have been picked up.<BR><BR>Therefore when we give an unqualified opinion we are saying the above, but not saying that the accounts are 100% correct or that we've checked everything, that's not the aim of the audit.
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Can anyone answer this auditing question?

    thanks a lot.

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