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Risk assessment
OVERVIEW
risk

During the planning process the auditor studies the entity in order to assess the business risks and their impact on the assertions for every significant accounting entry. While conducting the analytical procedures and studying the processes and controls within the entity, you are able to identify the risks, which may result in issuance of financial statements that do not give true and fair view of the financial performance of the company in all material respects.

At any given moment AuditDesktop allows the user to assess the impact of a certain risk factor as soon as it is identified, by assessing its probability of occurrence on a five-point scale, and by determining on a five-point scale what the impact of the identified risk would be on the relevant assertion of the respective item, should the risk occur.

A cross-reference link between the documents for researching and planning the audit, where the risks are identified and assessed, as well as the risk register along with their link to significant accounting items and assertions, makes the audit easy to perform. At any given moment AuditDesktop allows you to easily track the process from the planning and risk assessment to the procedures, which we have performed in response to the risks assessed.

RISK REGISTER
risk matrix
AuditDesktop creates a risk register containing information on all risk factors, their influence, probability and assessment at the moment of their identification and risk assessment. Each single risk is cross-referenced to the place of its identification. The systematization of risks in a risk register along with their assessments and their impact on the assertions is extremely convenient for constructing an overview of the adverse impacts on the financial statements, on the one hand and the proper planning of procedures aiming to cover those risks, on the other.
MANAGEMENT ASSERTIONS

AuditDesktop is a system facilitating the development of audit programs which enable the auditor to obtain the evidence required for the opinion expressed on the financial statements. The auditor is required to obtain sufficient appropriate evidence with respect to the assertions related to each material item, to obtain reasonable assurance that assets and liabilities have been measured properly, that the items are complete, the reported assets and liabilities exist and have been presented accurately and that the transactions have been performed.

During the development of the audit approach AuditDesktop allows each audit procedure to be linked to the relevant financial statement item and to obtain evidence regarding the assertions it was intended for. In the course of the audit this fine-tuning allows automated activation of procedures to be performed in response to the identification of the risks associated with the assertions. This activates documents and procedures from the audit approach in response to the identified and assessed risk, making the approach active and risk driven.

Strategic planning
Strategic planning
Annual planning
Annual planning
Risk assessment
Risk assessment
Risk matrix
Risk matrix
Materiality
Materiality
Sampling
Sampling
Audit methods development
Audit methods development
Conducting and documenting an audit
Conducting and documenting an audit
MS Office integration
MS Office integration
Trial balance
Trial balance
Trial balances consolidation
Trial balances consolidation
Financial statements analysis
Financial statements analysis
Errors
Errors
Timesheets
Timesheets
Reports
Reports
Audit file export
Audit file export
Audit file export - checklist
Audit file export - checklist