Problem:
Visit the AICPA website at the URL below.
https://www.aicpa.org/Professional+Resources/Accounting+and+Auditing/Audit+and+Attest+Standards/Authoritative+Standards+and+Related+Guidance+for+Non-Issuers/auditing_standards.htm
Print a copy of SAS 106 Audit Evidence. Write a report summarizing SAS 106. Your report should address the following questions:
1. What concept does this standard provide guidance concerning, and what standard does it supercede?
2. What is the effective date of the standard?
3. How does the standard define audit evidence?
4. How does the standard describe sufficient appropriate audit evidence?
5. The standard states that the reliability of audit evidence is influenced by its source. What are the five generalizations SAS 106 identifies concerning the reliability of audit evidence?
6. Financial statements contain a number of assertions about balances, classes of transactions, and disclosures.
a. Identify who makes these assertions.
b. List and describe each of the assertions regarding each financial statement component.
7. What is the purpose of Audit Procedures for Obtaining Audit Evidence? Briefly describe the seven procedures discussed in SAS 106.
Introductory paragraph describing the purpose of the report, each question retyped in bold followed by the answer to the question in normal type (without bold), a brief conclusion summarizing what you have learned by reading SAS 106 and how it relates to the discussion on audit risk