This course introduces you to guidance on auditing journal entries and adjustments, as well as related controls, as set out in auditing standards of the Public Company Accounting Oversight Board (PCAOB) and the Auditing Standards Board (ASB) of the American Institute of Certified Public Accountants (AICPA). Upon completing this course, you’ll be able to: Describe the nature of journal entries and adjustments. Explain the susceptibility of journal entries and adjustments to fraud. Cite the role of management override of controls in fraud. List factors to consider in designing and carrying out substantive tests of journal entries and adjustments and tests of related controls. Recap PCAOB staff inspection findings related to auditing journal entries and adjustments.
A basic understanding of audits of financial statements.