NTP modul 2 prosesauditing rev sept2016

PEMERIKSAAN AKUTANSI
AUDIT PROCES
YULAZRI M.AK., CA., CPA
FAK EKONOMI & BISNIS

2

VISI DAN MISI UNIVERSITAS ESA
UNGGUL

Materi Sebelum UTS
PENGANTAR AUDIT
AUDIT PROSES
TANGGUNG JAWAB DAN TUJUAN AUDIT
BUKTI AUDIT
KERTAS KERJA PEMERIKSAAN
STANDAR AUDIT
LAPORAN AUDIT

Materi Setelah UTS
MATERIALITAS DAN AUDIT RISK

INTERNAL CONTROL
PENILAIAN IC DAN TEST IC
PERENCANAAN DAN AUDIT PROGRAM
KODE ETIK PROFESI
KEWAJIBAN HUKUM
DAMPAK TI PADA PROSES AUDIT

KEMAMPUAN AKHIR YANG DIHARAPKAN
• Mahasiswa memahami tahapan proses
audit.
• Mahasiswa
memahami
proses
perencanaan audit.
• Mahasiswa dapat menggunakan aplikasi dasar
dari analisa laporan keuangan (analytical
review)

Proses/tahap
an audit

previous
Plannin
g

Field
work

Reporti
ng

Risk
respon
d

Reporti
ng

new
Risk

Perencan
aan audit

Audit should be plan

First Standard of Fieldwork
(GAAS)
• The work is to be adequately
planned
• and assistants, if any, are to be
• properly supervised.

Three Main Reasons for
Planning
To
Toobtain
obtainsufficient
sufficientcompetent
competentevidence
evidence

for
forthe
thecircumstances
circumstances
To
Tohelp
helpkeep
keepaudit
auditcosts
costsreasonable
reasonable
To
Toavoid
avoidmisunderstanding
misunderstandingwith
withthe
theclient
client

Summary of General Standards

(before 2013)
10 Pernyataan standar
Generally Accepted Auditing Standards

General : 3

Field Work : 3

Reporting : 4

1. Adequate training1. Proper planning1. Statements prepared in
and supervision accordance with GAAP
and proficiency
2. Independence in 2. Internal control2. Circumstances when
understanding
GAAP not followed
mental attitude
3. Adequacy of disclosures
3. Due professional 3. Sufficient
competent

4. Expression of opinion
care
evidence
on financial statements
11

Standar Audit

Prinsip
Umum dan
Tanggung
Jawab
SA 200
SA 210
SA 220
SA 230
SA 240
SA 250
SA 260
SA 265

Penilaia
n
Risiko
dan
Respons
terhadap
Risiko
yang
Dinilai

SA 300
SA 315
SA 320
SA 330
SA 402
SA 450

Bukti Audi
t

SA 500
SA 501
SA 505
SA 510
SA 520
SA 530
SA 540
SA 550

Penggunaa
n Hasil
Pekerjaa
n Pihak
Lain
SA 600
SA 610
SA 620

Kesimpul
an Audit

dan
Pelapora
n
SA 700

Area
Khusu
s
SA 800

SA 705

SA 805

SA 706

SA 810

SA 710
SA 720

SA 560
SA 570
SA 580

1
2

Three Main Reasons for Planning

Risk Terms

 Acceptable audit risk
 Inherent risk

Managing Risk is an
Important Aspect of
Auditing
Acceptable
Acceptableaudit

auditrisk
risk––level
levelof
ofrisk
riskthe
theauditor
auditor
will
willaccept,
accept,that
thatan
anunqualified
unqualifiedopinion
opinionisis
mistakenly
mistakenlyissued.
issued.
Inherent
Inherentrisk
risk––likelihood
likelihoodof
ofmaterial
materialmisstatements
misstatements
In
Inaccounts
accountsbefore
beforeI/C
I/Ceffectiveness
effectivenessisisconsidered.
considered.

Initial Audit Planning
1. Client acceptance and continuance
2. Identify client’s reasons for audit
3. Obtain an understanding with the client
4. Develop overall audit strategy

Client Acceptance and
Continuance
New client investigations
If previously audited, the new auditor is
required to communicate with the
predecessor auditor
Client permission required
Continuing clients
Annual evaluations whether to continue
based on issues, fees, and client integrity

Identify Reasons for the
Audit
Two major factors affecting acceptable risk
Likely statement users
Intended uses of the statements
Likely to accumulate more evidence for
companies that are
Publicly held
Have extreme indebtedness
Likely to be sold

Obtaining an Understanding
with the Client
Engagement terms should be understood
between CPA and client.
Standards require an engagement letter
describing:
objectives
responsibilities of auditor and management
schedules and fees
Informs client that auditor cannot guarantee
all acts of fraud will be discovered
See figure 8-2

Develop Overall Audit
Strategy
Preliminary audit strategy should consider
client’s business and industry
material misstatement risk areas
number of client locations
past effectiveness of controls
Preliminary strategy helps auditor determine
resource requirements and staffing
staff continuity
need for specialists

Understanding of the
Client’s Business and
Industry
Client business risk is the risk
that the client will fail to meet
its objectives.
 Information technology
Global operations
Human capital

Understanding of the
Client’s Business and
Industry

Industry and External
Environment
Reasons for obtaining an understanding of the
client’s industry and external environment:
1. Risks associated with specific industries
2. Inherent risks common to all clients in
certain industries
3. Unique accounting requirements

Business Operations
and Processes
Factors the auditor should understand:
 Major sources of revenue
 Key customers and suppliers
 Sources of financing
 Information about related parties

Tour the Plant and Offices

Touring the physical facilities
enables the auditor to assess
asset safeguards and interpret
accounting data related to assets.

Identify Related Parties
Affiliated companies
Principal owners of the client
Any other party with which the client deals
A party who can influence management or
client policies

Management and
Governance
Governance includes:
Organizational
structure
Board activities
Audit committee
activities.

Governance insights:
Corporate charter
and bylaws
Code of ethics
Meeting minutes

Management establishes the strategies and
processes followed by the client’s business.

Code of Ethics
In response to the Sarbanes-Oxley Act, the SEC
now requires each public company to disclose
whether is has adopted a code of ethics that
applies to senior management.
The SEC also requires companies to disclose
amendments and waivers to the code of ethics.

Client Objectives and
Strategies
Strategies
Strategiesare
areapproaches
approachesfollowed
followedby
bythe
the
entity
entityto
toachieve
achieveorganizational
organizationalobjectives.
objectives.
Auditors
Auditorsshould
shouldunderstand
understandclient
clientobjectives.
objectives.
Financial
Financialreporting
reportingreliability
reliability
Effectiveness
Effectivenessand
andefficiency
efficiencyof
ofoperations
operations
Compliance
Compliancewith
withlaws
lawsand
andregulations
regulations

Measurement and
Performance
The
Theclient’s
client’sperformance
performancemeasurement
measurementsystem
system
includes
includeskey
keyperformance
performanceindicators.
indicators.Examples:
Examples:
––market
marketshare
share
––sales
salesper
peremployee
employee
––unit
unitsales
salesgrowth
growth

––Web
Website
sitevisitors
visitors
––same-store
same-storesales
sales
––sales/square
sales/squarefoot
foot

Performance
Performancemeasurement
measurementincludes
includesratio
ratioanalysis
analysis
and
andbenchmarking
benchmarkingagainst
againstkey
keycompetitors.
competitors.

Assess Client Business Risk
Client business risk is the risk that the
client will fail to achieve its objectives.
 What is the auditor’s primary concern?
 Material misstatements in the financial
statements due to client business risk

Client’s Business, Risk, and
Risk of Material
Misstatement

Sarbanes-Oxley Act
Management must certify it has designed
disclosure controls and procedures to
ensure that material information about
business risks is made known to them.

Management must certify it has informed
the auditor and audit committee of any
significant control deficiencies.

Perform analytical procedures.

Analytical Procedure Definition
• Analytical Procedures consist of the
evaluation of financial information in audit,
made by a study of plausible relationships
among both financial and non-financial
data.
• It involves analysis of significant ratios and
trends including the fluctuations that are
inconsistent with other relevant data or
which deviate from expectations.

Definition-Contd.
• “Expectations”, in this context, refer to the
auditor’s expectations of what a figure in the
accounts being audited should approximately
be as worked out from other relevant
financial and non-financial information.
• Their use is based on the assumption that
there are relationships between items in the
accounts and that these relationships may be
expected to continue.

Analytical
Examples

Procedure:

• The reasonableness of the figure of expenditure
on salaries can be verified by multiplying the
average number of the employees in each grade
with the average salary for the grade.
• The reasonableness of the interest on General
Provident Fund balance can be verified by
multiplying the average balance in the General
Provident Fund with the prescribed rate of
interest.

Commonly
used
review procedures

analytical

• comparisons involving a single
component
• comparison across components
• system analysis
• predictive analysis
• regression analysis; and
• business analysis

Comparisons involving a single
component
• There are two types of comparisons.
– Comparison of the recorded value of a
component with its budgeted value.
– Comparison of a component’s current value
with its value in previous years (trend
analysis)
• This procedure may be used at both the
planning and execution stages of audit.
• In trend analysis, it is preferable to compare
figures of a few previous years than just the
immediately preceding year in order to factor
out any anomalies or aberrations specific to a
given year.

Comparison across
components
• This involves analysis of the relationship between
more than one financial statement component.
(also known as ratio analysis)
• Some examples are accounts receivable to
turnover ratio, inventory-turnover ratio, grossmargin ratio, etc.
• This procedure may be used at both the planning
and execution stages of audit.
• More
effective
than
single
component
comparisons because it considers the interrelationships among different components and
provides assurance simultaneously for more than
one component.

System analysis
• This involves identification of anomalous items
within an account balance rather than a macro level
analysis of the balance itself.
• Individual entries in transaction listings are analysed
to locate unusual entries or abnormalities.
• This procedure can be effectively used during the
execution stage.
• However, it is time consuming as it may involve
scrutiny of numerous transactions, if performed
manually.
• For computerized data, use of appropriate auditing
software could significantly aid the adoption- of this
procedure.

Predictive analysis
• This involves creation of an expectation using not
just financial data but also operating or external
data, independent of the accounting system.
• This can be used only where sufficient information
independent of the accounting system is available.
• Also
known
as
an
“independent
test
of
reasonableness”.
• For example, volume of imports and import duty rate
may be used to predict import duty revenue.
• The method is generally used in the execution stage.
• As it involves collection of reliable data from outside
the accounting system, it is more time consuming
than simpler analytical procedures.

Regression analysis
• This is a statistical technique that creates an
equation to reveal how one variable is
related to one or more other variables.
• Similar in principle to predictive analysis but
has
added
mathematical
rigor
and
objectivity.
• Generally used in the execution stage.
• It requires understanding of the statistics of
complex variables and is therefore not “userfriendly” to the general auditor.
• It also requires much time for application and
testing and is therefore not in frequent use.

Business analysis
• This is a high (macro) level analysis of financial
statements involving critical ratios related to
profitability, liquidity, financial stability, debt, etc.
• It is a useful technique for identification of risk areas
during planning and audit completion stages and
also for a better understanding of the entity and its
operations.
• However, it provides no audit assurance and is not
used in the execution stage.
• It requires detailed knowledge of general business
relationships and trends and thus is a more useful
tool for those experienced members of the audit
team who can apply their cumulative knowledge of
the particular entity being audited.

Steps
involved
analytical review
•
•
•

in

Develop an expectation
Define significant differences
Compare
the
actuals
with
the
expectation
• Investigate any significant differences
between actuals and expectation
• Document the first four steps and make
an audit conclusion as to whether
assurance can be drawn

Analytical procedures can be used for
different purposes at different stages
of audit, viz.,
• in planning the audit, to assist Audit by pointing
areas requiring examination
• as substantive tests, in areas where analytical
procedures can be used to obtain evidential
matter regarding the accuracy of figures
• in reporting stage, to assist in the final stage of
the audit in assessing the conclusions Audit has
reached and in evaluation of the overall financial
statement presentation by identifying odd or
unusual figures in the final accounts.

Purposes of Analytical Review
Procedure
•
•
•
•
•
•

Understand the entity
Indicate risk areas
Indicate possible misstatement
Reduced detailed test
Obtain direct, positive audit assurance
Assess going concern

Factors to Consider
•
•
•
•
•
•
•
•

Objective of the analytical procedure
Nature of the entity
Knowledge gained from the previous
audit
Availability
Reliability
Relevancy
Source
Comparability

Preliminary Analytical
Procedures
Comparison of client ratios to industry
or competitor benchmarks provides an
indication of the company’s performance.
Preliminary tests can reveal unusual
changes in ratios.

Examples of Planning
Analytical Procedures

Summary of the Parts
of Auditing Planning
A major purpose is to gain an understanding
of the client’s business and industry.

Planning an Audit and
Designing an Audit
Approach
Set materiality and assess
acceptable audit risk
and inherent risk.
Understand internal control
and assess control risk
Gather information to assess fraud risks
Develop overall audit plan and audit program

State the purposes of analytical
procedures and the timing of
each procedure.

Analytical Procedures
AU 329 emphasizes the expectations
developed by the auditor.
1. Required in the planning phase
2. Often done during the testing phase
3. Required during the completion phase

Timing and Purposes of
Analytical Procedures

Select the most appropriate
analytical procedure from among
the five major types.

Five Types of Analytical
Procedures
Compare client data with:
1.
2.
3.
4.
5.

Industry data
Similar prior-period data
Client-determined expected results
Auditor-determined expected results
Expected results using nonfinancial data.

Compare Client and Industry
Data
Client
2009
Inventory turnover 3.4
Gross margin
26.3%

2008
3.5
26.4%

Industry
2009
3.9
27.3%

2008
3.4
26.2%

Internal Comparisons

Compare Client Data with
Similar Prior Period Data
2009
(000)
Prelim.
Net sales
Cost of goods sold
Gross profit
Selling expense
Administrative expense
Other
Earnings before taxes
Income taxes
Net income

% of
Net sales

$143,086
100.0
103,241
72.1
$ 39,845
27.9
14,810
10.3
17,665
12.4
1,689
1.2
$ 5,681
4.0
1,747
1.2
$ 3,934
2.8

2008
(000)
Prelim.
$131,226
94,876
$ 36,350
12,899
16,757
2,035
$ 4,659
1,465
$ 3,194

% of
Net sales
100.0
72.3
27.7
9.8
12.8
1.6
3.5
1.1
2.4

Compute common financial ratios.

Common Financial Ratios
 Short-term debt-paying ability
Liquidity activity ratios
Ability to meet long-term debt obligations
Profitability ratios

Short-term Debt-paying
Ability
Cash ratio

Quick ratio

=

(Cash + Marketable securities)
Current liabilities

=

(Cash + Marketable securities
+ Net accounts receivable)
Current liabilities

Current assets
Current ratio =
Current liabilities

Liquidity Activity Ratios
Accounts receivable
turnover
Days to collect
receivable
Inventory
turnover
Days to sell
inventory

=

Net sales
Average gross receivables

=

365 days
Accounts receivable turnover

=

Cost of goods sold
Average inventory

365 days
=
Inventory turnover

Ability to Meet Long-term
Debt Obligation
Debt to equity =

Total liabilities
Total equity

Times interest
earned

Operating income
Interest expense

=

Profitability Ratios
Earnings
per share
Gross profit
percent
Profit
margin

=

=
=

Net income
Average common shares outstanding
(Net sales – Cost of goods sold)
Net sales
Operating income
Net sales

Profitability Ratios
Return on
assets
Return on
common
equity

=

Income before taxes
Average total assets

=

(Income before taxes
– Preferred dividends)
Average stockholders’ equity