Important points on The Concept of Audit & Other Assurance Engagements

[rajni]

General principles of external audit engagement
 Compliance with code of ethics = Covering independence, integrity, objectivity and confidentiality
 Performance of audit in accordance with ISAs
 Audit with professional scepticism

Important concepts
 Accountability: Responsibility given by one person to another
 Stewardship: Responsibility to take care of resources
 Agency: Relationship where one person is engaged to represent another person
 Maturity: If could influence the economic decision of users
 True and fair presentation: Accounts prepared in accordance with facts, correct principle and applicable / accepted standards.

[Acid]

 Maturity: If could influence the economic decision of users


is it maturity or materiality ?:confused:

[rajni]

It is materiality.

Thanks
Rajni