quick question re audit

taskey

in a nutshell, is a substantive procedure a written guideline as to how a query is solved?

for example, i am being asked to set out a substantive procedure to show that all sales that should have been recorded are at the correct value.

do i show it step by step bulleted or am i totally off the mark here?

thanks in advance (as always)

tracy

PGM

I thought a substantive procedure is one which involves physical checks, ie checking sales orders, invoices, goods notes.

With the other type being analytical, checking totals and quantities are what would be expected based on other amounts, or year on year figures.

But I'm definitely no audit expert

taskey

thanks, that is what my book says too but do i do a diagram or just a list, totally confused

Tracy

antevans1

I thought a substansite proceedure was a test of detail of/or transactions. Well, that's what I put in my cba on Friday! Why oh why I chose it over Credit Management I'll never know.

Anyway, I think your looking for something like vouching the balance on sample of accounts in the trade receivables ledger to the original invoices to check accuracy. Then reconciling the total on the trade receivables ledger to the trade receivables control?


I hope it was meant to bulleted or I'll be sitting it again! That's how our tutor told us to do it, but with a bit of an intro.

taskey

arrgghh i have done the credit control one and chose this one aswell, passed credit control but this i am struggling on, the books just dont have enough info.

i have my sim tomorrow, so am dreading it

Tracy

Rinske

I'm sure you will be fine!

Good luck for tomorrow and don't forget, it is normal that you got the feeling you repeat yourself a lot in the skillstest, don't worry about it when that happens!

taskey

thanks rinske, it is my last one and i just want it over now.

tracy

Primble

Good luck Tracy, I have mine on Monday. I feel a weekend of never ending questions coming on...

taskey

thanks primrose, i need it. feel really unconfident, but got to get it out of the way

Primble

I'm sure you will do fine. You always seem to work so hard. It just seems that Auditing is the most unnatural thing in the world. lol

taskey

well it wasn't as bad as i thought, lots of writing though so i hope i have covered all points.

Tracy

Rinske

Glad to hear it wasn't too bad! Lets hope the results come soon and are very positive!

I'm sure you put in enough time to warrant a flying pass, so now go out there and enjoy the 29 degrees!