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However the following procedures are typical of a subsequent events review: Enquiring into management's procedures/systems for the identification of subsequent events; Inspection of minutes of members' and directors' meetings; Reviewing accounting records including budgets, forecasts and interim information.
What is a subsequent event audit?
Auditing Procedures in the Subsequent Period. . 10 There is a period after the balance-sheet date with which the auditor must be concerned in completing various phases of his audit. This period is known as the "subsequent period" and is considered to extend to the date of the auditor's report.
What are Type 1 and Type 2 subsequent events?
Type I subsequent events provide evidence about conditions that existed on or before the balance sheet date. These events are recognized in the financial statements. Type II subsequent events provide evidence about conditions that did not exist on or before the balance sheet date.
What are Type 1 and Type 2 subsequent events?
Type I subsequent events provide evidence about conditions that existed on or before the balance sheet date. These events are recognized in the financial statements. Type II subsequent events provide evidence about conditions that did not exist on or before the balance sheet date.
What is a subsequent event in audit process?
A subsequent event is an event that occurs after a reporting period, but before the financial statements for that period have been issued or are available to be issued. Depending on the situation, such events may or may not require disclosure in an organization's financial statements.
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Companies categorize accounting events as either internal or external events.
What is the purpose of audit review?
Review ensures that the work performed supports the conclusions reached, that the evidence obtained is sufficient and appropriate to support the audit observations and conclusions, and that the audit work is appropriately documented.
What needs to be disclosed as a subsequent event?
A subsequent event is an event that occurs after a reporting period, but before the financial statements for that period have been issued or are available to be issued. Depending on the situation, such events may or may not require disclosure in an organization's financial statements.
What is a subsequent event based on PSA 560?
In this ISA, the term \u201csubsequent events\u201d is used to refer to both events occurring between the date of the financial statements and the date of the auditor's report, and facts discovered after the date of the auditor's report.
What are the two types of subsequent events in auditing?
There are two types of subsequent events: Adjusting events. An event that provides additional information about pre-existing conditions that existed on the balance sheet date. Non-adjusting events. A subsequent event that provides new information about a condition that did not exist on the balance sheet date.
Related links
26 U.S. Code § 2801 - Imposition of tax - Law.Cornell.Edu
The tax imposed by subsection (a) on any covered gift or bequest shall be paid by the person receiving such gift or bequest. (c) Exception for certain gifts.
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