内部控制和控制测试(李璐)

– Inquiry – Inspection of documents and records – Observation – Reperformance
Internal
Control
Auditing and Assurance
3. Acting on the control risk assessment
1.1 Control environment
A framework within which controls operate Communication and enforcement of integrity and ethical values Commitment to competence Participation of those charged with governance Mgnt’s philosophy and operating style Organizational structure Assignment of authority and responsibility Human resource policies and practices
Internal
Control
会计学院
Tests of Controls (2)
Li Lu
Auditing and Assurance
Topic list
1. 2. 3. 4. The sales system The purchase system The inventory system The cash system
Internal
Control
Auditing and Assurance
2. The purchases system
请购单
资产使用部门 采购部门
订购单
销售方
销售
仓库
发票
会计部门
应付 凭单
应付凭单部门
验收单
验收部门
登账
Internal Control
Auditing and Assurance
会计学院
Internal Control (1)
Li Lu
Auditing and Assurance
Overview of the audit process
Audit Environment (professional ethics, etc.) Risk assessment and planning
Internal Control
Auditing and Assurance
1.4 Control activities
Policies and procedures established to achieve the control objectives
– Authorization control – Recording control – Custody control – Review control – Segregation of duties (fraud or unintentional errors) – IT environment control
Internal
Control
Auditing and Assurance
Risk Assessment & Response Model
Identify the events or threats that confront the company Estimate the likelihood or probability of each event occurring Estimate the impact of potential loss from each threat Identify set of controls to guard against threat Estimate costs and benefits from instituting controls
Internal
Control
Auditing and Assurance
1. The sales system
仓库 顾客
订货单
销售部门 信用部门
货物
销售单SO
批准赊销
发货部门
发货单GDN
销售发票SI 现金或应收款
会计部门
贷项通知单CN
销售部门
Internal Control
Auditing and Assurance
Revision of control risk assessment
– Amend further audit procedure
Communication of weakness to management
– Letter of weaknesses
Internal

Control
Auditing and Assurance
1. The sales system
Ordering of goods Dispatch and invoicing of goods accounting and receive payment (credit note)
E.g. Sales system Customer’s PO Credit Evaluation Sale Order Sale Invoice Delivery Order Sales Day Book General Ledger
Internal
Control
Auditing and Assurance
2. Recording of acct and ctrl systems
Narrative notes Flowchart Questionnaires
– Internal Control Questionnaires (ICQs) – Internal Control Evaluation Questionnaires (ICEQs)
Internal
Control
Auditing and Assurance
1.2 Risk assessment process
Entity’s process for identifying business risk, deciding actions to address and the results thereof.
Checklists
Internal
Control
Auditing and Assurance
Flowcharts
A flowchart is an analytical technique that describes some aspect of an information system in a clear, concise, and logical manner. Flowcharts use a set of standard symbols to depict processing procedures and the flow of data.
1. Gaining an understanding of control systems 2. Recording of accounting and control systems 3. Acting on the control risk assessment 4. Internal controls in a computerized environment
Internal
Control
Auditing and Assurance
1.5 Monitoring
Activities used by the entity to monitor internal control over financial reporting Fall on the internal audit department
2. The purchases system
Requisition made and order placed Goods and invoice received Payment made and accounting Common documents:
4. Internal controls in IT environment
General controls (overall control framework)
– Development of computer applications – Changes of programs – Changes of files – Continuity of operation
Internal
Control
Auditing and Assurance
1.Gaining an understanding of control systems
Five elements of internal control system
Internal
Control
Auditing and Assurance
Overall response
Test of control Substantive audit procedure
Internal Control
Risk response
Further audit procedure
2013-10-15
Auditing and Assurance
Topic list
Is it cost-beneficial to protect system
No
Avoid, share, or accept risk