This page summarises how the five elements of assurance relate to one another. The elements are: the three-party relationship; appropriate subject matter; suitable criteria; appropriate evidence; and a conclusion. Show
The five elements:
How the elements relate to each otherAssurance engagements involve three separate parties: a practitioner, a responsible party and intended users of the assurance report. The responsible party is responsible for the information on which the practitioner is engaged to give a conclusion. Buyer's guide to assurance on non-financial informationFind out moreEngagements will only comply with the ISAAB's Amended International Framework for Assurance Engagements (the Framework) if there is at least one intended user of the report other than the responsible party. Acknowledgement by the responsible party for its responsibilities is essential to ensure the appropriate relationship exists between the responsible party and the practitioner, and to establish a basis for a common understanding of the responsibility of each party. The assurance services need not necessarily include an external user as, in some circumstances, it may be appropriate to provide assurance over the client’s own operations for the client’s own use. In such cases there will be two different parties within the organisation – those responsible for the operations under scrutiny (such as management) and those ultimately responsible for the organisation (the Board). We refer to this as a three-party relationship despite there being only one organisation other than the practitioner. The subject matter of an assurance engagement can take many forms. An appropriate subject matter is (a) identifiable, and capable of consistent evaluation or measurement against the identified criteria; and (b) such that the information about it can be subjected to procedures for gathering sufficient appropriate evidence to support a reasonable assurance or limited assurance conclusion, as appropriate. Suitable criteria are necessary because they provide the frame of reference for a reasonably consistent evaluation or measurement of a subject matter. What constitutes suitable criteria will depend on the engagement circumstances – in some circumstances they may be identified by law or regulation, in others they may be specifically designed to meet the needs of specific intended users. Suitable criteria exhibit the following characteristics: relevance, completeness, reliability, neutrality and understandability. 68% found this document useful (25 votes) 105K views 13 pages MCQ - assurance services © Attribution Non-Commercial (BY-NC) PDF, TXT or read online from Scribd Share this documentDid you find this document useful?68% found this document useful (25 votes) 105K views13 pages MCQ - Assurance ServicesOriginal Title:MCQ - assurance services Jump to Page You are on page 1of 13 You're Reading a Free Preview Reward Your CuriosityEverything you want to read. Anytime. Anywhere. Any device. No Commitment. Cancel anytime.  Which of the following best describes the focus of the following engagements? 1. c or d, Governmental (GAO) auditors What is an assurance service engagement?“Assurance engagement” means an engagement in which a practitioner expresses a conclusion designed to enhance the degree of confidence of the intended users other than the responsible party about the outcome of the evaluation or measurement of a subject matter against criteria.
What are the 5 elements of this assurance engagements?The five elements of an assurance engagement
The elements are: the three-party relationship; appropriate subject matter; suitable criteria; appropriate evidence; and a conclusion.
Which of the following services would most likely to be structured as an assurance engagement?Question 1 Which of the following services would be most likely to be structured as an assurance engagement? Correct answer: An engagement to issue a report addressing an entity's compliance with requirements of specified laws.
What is considered an assurance service?Assurance services are a type of independent professional service usually provided by certified or chartered accountants such as certified public accountants (CPAs). Assurance services can include a review of any financial document or transaction, such as a loan, contract, or financial website.
|
Which of the following professional services can be considered as assurance engagement
zusammenhängende Posts
Urheberrechte © © 2024 IlerngutCOM Inc.
