AICPA Training School – IT Considerations in Risk-Based Financial Statement Audits

Attend the Audit School developed to help auditors as well as Controllers or internal audit staff better understand how Information Technology (IT) impacts financial reporting. In addition, this school uncovers the essential guidance as to what IT considerations need to be addressed and the extent to which they should be considered, tested and reported on within the conduct of a financial statement audit.

You will get a better understanding of:

• The type and scope of documentation needed to prepare and provide the auditors and materials they may need to prepare outside of the Finance department.
• The personnel needed to have available during the audit.
• What is needed from IT and IT’s role in the audit -- particularly for attendees that may not have had IT personnel previously support an audit, but may now need to do so due to the additional information to be gathered or IT controls to be tested under recent audit standards.

Limited to 60 participants.

WHO SHOULD ATTEND
CPAs who perform audits, from partners through staff members. Also, controllers or internal audit managers and staff who are involved in documenting the IT function for financial reporting audits.

Tuesday, October 13 – Day One
8:30am – 9:30am Introduction and Course Expectations
9:30am – 10:30am I.          Background and Concepts
A.  Why IT Matters
B.  SAS No. 104-111
10:30am – 10:45am Break
10:45am – 12:00pm I. Background and Concepts (cont.)
C.  AS No. 5
D.  SAS No. 94
E.  Relationship of SAS No. 70
12:00pm – 1:00pm Lunch
1:00pm – 3:00pm I. Background and Concepts (cont.)
F.  Materiality
G.  Audit Risk Model:
- Inherent Risks
-Control Risks
3:00pm – 3:15pm Refreshment Break
3:15pm – 5:15pm Exercise 1: Planning the IT Audit

Wednesday, October 14 – Day Two
8:30am – 10:30am II. Understanding the Entity, the Role of IT for Financial Purposes and Its IT Controls
A.  IT Entity/Management Considerations
B.  IT Network and Server Functionality
C.  IT Applications and End-User Computing
10:30am – 10:45am Break
10:45am – 12:00pm II. Understanding the Entity, the Role of IT for Financial Purposes and Its IT Controls (cont.)
D.  IT General Control Processes
E.  Role of Third Parties
12:00pm – 1:00pm Lunch
1:00pm – 3:00pm Exercise 2: Understanding the Financial IT Environment
3:00pm – 3:15pm Refreshment Break
3:15pm – 5:15pm Exercise 2: Understanding the Financial IT Environment (cont.)

Thursday, October 15 – Day Three
8:30am – 10:30am III.Assessing the Risk of Material Misstatement (Related to IT)
A.  Financial Statement Level Risks
B.  Assertion Level Risks
C.  Fraud Related Risks
D.  Error Related Risks
E.  Associating Mitigating Controls to Risks
10:30am – 10:45am Break
10:45am – 12:00pm Exercise 3: Assessing the Risk of Material Misstatement
12:00pm – 1:00pm Lunch
1:00pm – 3:00pm IV.        Designing and Executing Further Audit Procedures
A.  Tests for Deployment
B.  Tests for Operating Effectiveness
C.  Tests for Application/System Based Risks
D.  Tests for Control Procedures and Attributes
E.  Sampling Considerations
3:15pm – 5:15pm Exercise 4: Designing Further Audit Procedures

Friday, October 16 – Day Four
8:30am – 10:30am Exercise 5: Executing Further Audit Procedures
10:30am – 10:45am Break
10:45am – 12:15pm V. Documentation, Evaluation and Reporting
A.  Deficiency Evaluation and Reporting
12:15pm – 1:15pm Exercise 6: Documentation Exercise
1:15pm Adjournment (Boxed Lunch)

Illinois State Society
550 W. Jackson, Suite 900
Chicago, IL 60661