Evaluation of misstatements

◎Evaluation of misstatements
 Audit で Identify した Trivial(ささいな)でない Misstatements を Identify

 Auditor は Misstatements を3つにわける。

  1. Factual misstatements
  2. Judgmental misstatements
  3. Projected misstatements

1. Factual misstatements
 事実上の Misstatements、間違いなく Misstatements。

2. Judgmental misstatements

 Auditor が Inappropriate と Consider する Accounting policies が、Management の Judgment で Select されたことによる Misstatements。

3. Projected misstatements
 Sampling により Estimate された Misstatements。

uditor は、すべの Misstatements を Timely basis で The appropriate level of management に Communicate、Misstatements の Correct を Request

 Misstatements の Correct は Management が行う。Auditor は Misstatements が Remain していることを確認するために Additional procedure を Perform

 もし Management が Correction を Refuge したら、Reason についての Understanding を Obtain。Financial statement が Material misstatements でないか Consider。

○Uncorrected misstatements
 Auditor は、Uncorrected misstatements が Material か Determine するために以下について Consider。

  • The size and nature of the misstatements
  • The effect of uncorrected misstatements related to prior periods

 Uncorrected misstatements の Effect を Evaluate するために以下について Consider。

  • Compliance and regulatory requirements
  • Debt covenants
  • The effect on future periods’ financial statements
  • The effects on changes in earnings (such as changing income to a loss or vice versa) or other trends
  • The impact on ratios
  • The effects on segment information
  • An effect that increases management compensation
  • The omission of information important to users’ understanding
  • The misclassification between operating⁄non-operating items or recurring⁄non-recurring items.

 Auditor は Misstatement について Documentation

  • The amount below which misstatements would be viewed as clearly trivial
  • All misstatements accumulated during the audit and whether they have been corrected 
  • The auditor’s conclusion (and the basis for that conclusion) about whether the uncorrected misstatements are material, individually or in the aggregate.