- Nature and source of the evidence
This includes the reliability, relevancy and sufficiency of the audit evidence and whether
they originated from the company, 3'd party or observation by the auditor himself.
- Form of the evidence
The auditor should consider the way the way the evidence is presented in this include
oral, visual or documentary evidence. In terms of the quality of the evidence the auditor
would consider mostly the documentary evidence.
- Nature of the accounting systems and related controls
The auditor would consider if the accounting systems instituted by the management are
strong to detect and prevent errors and frauds when evaluating the audit evidence.
- Auditor's experience with the entity
If the auditor has a vast experience with the organization he will be able to evaluate the
evidence obtain effectively well compared with the auditor who does not have experience
with the management.
- Entity's management integrity
If the integrity of the management is questionable the auditor would have to thorough
scrutinize the audit evidence obtain from the management to confirm for their reliability
- Risks and material misstatements
- Time and cost involved.
- Accuracy and reliability of the financial statement.
- Effectiveness of the internal audit department.
Kavungya answered the question on May 14, 2019 at 13:37
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