This course focuses on red flags related to internal controlsand audit evidence. This course covers weaknessesin internal controls that could indicate potential financial mismanagement, fraud, or operational inefficiencies, such as inadequate segregation of duties, lack of oversight, or unexplained adjustments. It also examines how auditors can detect suspicious audit evidence, including inconsistent or incomplete documentation, and what steps to take when such evidence is found. This course provides auditors with practical tools to strengthen their audit approach and ensure the integrity of their findings.
Learning Objectives
Upon successful completion of this course, participants will be able to:
Identify weaknesses in internal controls that may expose the organization to risk
Select the appropriate response when suspicious or incomplete audit evidence is found
Distinguish between valid and questionable audit evidence during the audit process
Major Topics
- Identifying Audit Risks
- Internal Controls and Audit Evidence
The Role of Internal Controls in Detecting and Preventing Fraud
Common Internal Control Weaknesses
Red Flags Related to Control Overrides
Evaluating the Design and Operating Effectiveness of Internal Controls
Identified Control Deficiencies or Weaknesses
Types of Audit Evidence and Their Relevance to the Audit Process
Red Flags in Audit Evidence
Incomplete, Misleading, or Unreliable Evidence During Fieldwork
Audit Techniques to Verify Authenticity of Audit Evidence
Maintaining Professional Skepticism
Appropriate Audit Documentation
