The completeness and proper classification of liabilities are the typical higher audit risks. The complexity of the debt financing arrangements may create a significant risk requiring special audit consideration. This risk assessment auditing CPE course will discuss tips and techniques for auditing accounts payable, accrued expenses, and common long-term financing arrangements and related debt covenants.
Learning Objectives
- Upon completion of this course, participants will be able to:
Identify typical audit risks and special audit considerations related to various liabilities
Tailor the audit plan in response to assessed risk of material misstatement, focusing on the assertions with typically higher risk
Evaluate results from a search for unrecorded liabilities and procedures to assess the propriety of accrued estimates
Evaluate the completeness, classification, and disclosure of financing arrangements
- including debt covenant compliance
