Académique Documents
Professionnel Documents
Culture Documents
Mnemonic: FLOMPS
Topic: Items of an engagement letter
Fee and billing arrangements, Letters to be issued to client, Objective of audit, Management’s
responsibility for FS’s, Planning arrangements, Scope of audit
Fees, Letters, Objective, Mgt responsibility, Planning, Scope
Here’s two more items:
Access to relevant books and records, Management representation letter
Mnemonic: COIRRA
Topic: Types of audit evidence
Confirmation, Observation, Inspection, Recalculation, Reperformance, Analytical Procedures
You can also have Inquiry
Mnemonic: QERPAA
Topic: Factors that you should consider when taking on an external consultant
Qualifications, Experience, References, Project management skills, Access to information,
Acceptance from other staff
Mnemonic: TARA
Topic: Risk management
Transfer, Avoid, Reduce, Accept
Mnemonic: MARKSAT
Topic: Audit Plan/Strategy
Materiality levels, Analytical procedures (e.g. ratios), Risk (IR x CR x DR), Knowledge of
business, Staffing (number and skills required), Audit approach (procedural or risk based),
Timing (after year end)
Mnemonic: EGON
Topic: Control Objectives of wages system
Employees paid only for work done, Gross pay calculated correctly, Only correct employees
paid, Net pay calculated correctly
Mnemonic: SS JR MUSH
Topic: Sampling
Systematic, Sequential, Judgemental, Random, Monetary Unit Sampling, Haphazard
Mnemonic: IOPCP
Topic: Code Of Ethics and Conduct
Integrity, Objectivity, Professional competence and due care, Confidentiality, Professional
behaviour
Mnemonic: CACCO
Topic: Assertions about classes of transactions and events at the period end
Completeness, Accuracy, Cut-off, Classification, Occurrence
Mnemonic: CRAVE
Topic: Assertions about account balances at the period end
Completeness, Rights and obligations, Allocation and Valuation, Existence
Mnemonic: RAVOCC
Topic: Presentation and disclosure
Rights and obligations, Accuracy, Valuation, Occurrence, Completeness, Classification
Mnemonic: ASTOP
Topic: Control objectives
Accuracy, Safeguarding assets, Timing of reporting, Orderly efficient business conduct,
Prevention of fraud or non compliance of law
Mnemonic: AEIOU
Topic: Audit Procedures
Analytical procedures, Enquiry, Inspection, Observation, RecalcUlation
Mnemonic: CASCO
Topic: Audit stages
Client acceptance/retention, Audit planning, Substantive testing, Control testing, Opinion
formulation
Mnemonic: PEEDO
Topic: Audit activities
Planning, Evidence gathering, Evidence evaluation, Decision making, Other activities
(delegation, supervision or review)
Mnemonic: WORDS
Topic: Quality of evidence
Written, Originals, Records with strong controls, Direct from the auditor, Sources (External)