Table of Contents
What is re-performance audit?
Reperformance. . 39 Reperformance is the auditor’s independent execution of procedures or controls that were originally performed as part of the entity’s internal control, either manually or through the use of CAATs, for example, reperforming the aging of accounts receivable.
What is the difference between Reperformance and recalculation?
Reperformance: This term refers to checking the sampling work the client has already done. Recalculation: This term refers to checking the mathematical accuracy of figures and totals on a document.
Why is recalculation important?
Re-performance: Re-performance (sometimes called recalculation) is used when the three above methods combined fail to provide sufficient assurance that a control is operating effectively or this method can be used to prove by itself to demonstrate that controls are operating effectively.
Is recalculation an audit procedure?
Recalculation is the type of audit procedure normally done by re-performing the works performed by the client to assess if there is any difference between the audit’s work and the client’s work.
What are the five types of audit tests?
Auditors use one or more of five different test methods, including inquiry, observation, examination, re-performance, and computer-assisted audit techniques (CAAT), which involves testing large volumes of data using computer algorithms.
What is audit evidence and examples?
Auditing evidence is the information collected by an auditor to ascertain the accuracy and compliance of a company’s financial statements. Examples of auditing evidence include bank accounts, management accounts, payrolls, bank statements, invoices, and receipts.
How is re-performance used in an IT audit?
Always insist on system generated populations that include system date and time, also observe the queries and parameters used to generate any populations/reports. Re-performance is independently recreating a process to verify that it is operating effectively.
What is the purpose of a performance audit?
BREAKING DOWN Performance Audit. In government, a performance audit is designed to examine efficiency and effectiveness of a program, with the goal of implementing improvements. In Generally Accepted Government Auditing Standards (GAGAS), the term “program” can include government entities, activities, organizations, programs and functions.
Which is the best definition of re-performance?
Re-performance is independently recreating a process to verify that it is operating effectively. Re-performance may also include recreating a process in tandem with an observation to observe an otherwise automated process. Re-performance offers the highest level of assurance that a process is in place and operating effectively.
How does the European Court of auditors work?
CHAPTER 1sets out the context of performance audit in the EU institutions, and the Court’s mandate and objectives for such audits. CHAPTER 2 describes the performance audit approach, the application of the concepts of economy, efficiency and effectiveness in the EU domain, and the essential qualities of good performance audits.