Page 195 - DCOM509_ADVANCED_AUDITING

Advanced Auditing

Notes  The documentation of the independent financial audit and the procedures on its
implementation are performed in compliance with the requirements of the legislation in
force and the International auditing standards.
 The personal seal of the statutory auditor and the seal of the specialized audit firm are
used for verification of the audit of the financial accounts and in other cases envisaged by
the law.

10.7 Keywords

Auditing Standards Board: The Auditing Standards Board (ASB) is the AICPA's senior committee
for auditing, attestation, and quality control applicable to the performance and issuance of audit
and attestation reports for non-issuers.

Comptroller and Auditor General: Audits and assists the state and central institutions on their
accounts and accountability.

Financial Transactions: Financial transactions are transactions in financial assets and liabilities
between institutional units, and between them and the rest of the world.

Government Audit: A systematic examination of financial or accounting records by a specialized
inspector, called an auditor, to verify their accuracy and truthfulness.
Government Auditing Standards: The set of accounting standards for performance audits and
financial audits of government agencies, produced by the Government Accountability Office.
Indian Audit and Accounts Department: IAAS or Indian Audit and Accounts Service are an
Indian Central Government service, free of control from any executive authority, under the
Comptroller and Auditor General of India.

Paid up Share Capital: The amount of money stockholders have paid for the issued capital
shares of stock.

Statutory Auditor: A legally required review of the accuracy of a company's or government's
financial records.

10.8 Review Questions

1. What do you understand by government auditing? Explain. Mention its objectives.
2. Explain audit jurisdiction.
3. Discuss in detail the audit of government companies.
4. Elaborate the uses and applications of GAGAS.

5. Explain the Field Work Standards for Government Financial Audits.
6. Discuss the Reporting Standards for Government Financial Audits.
7. What are the objectives and principles of the Independent Financial Audit?
8. Explain in detail the organization, documentation and conclusions of the Independent
Financial Audit.
9. Differentiate between Government financial audit and Independent financial audit.
10. Write a short note on Ethical Principles in Government Auditing.

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