By Bill N. Schwartz
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Extra info for Advances in Accounting Education: Teaching and Curriculum Innovations, Volume 9
2237 since it points to the need to tailor audit procedures based on risk assessment. Given a high-risk client, I ask the students what they would change about the audit procedures for this client. I like to point out the risk management program described in this case since it offers speciﬁcs about how one ﬁrm handles high-risk clients. This case is helpful since it also discusses pervasive risk factors as well as risks speciﬁc to particular accounts. AAER No. 1839 is helpful in pointing out the need to continually re-assess audit risk throughout the audit.
Client Date Auditor Training and experience 1643/1672 ACLN, Ltd 10/8/02 BDO Cyprus 1846 Rockies 8/20/03 KPMG 983 Members 11/7/97 O’Neal & White Due professional care and skepticism/illegal acts 1823 California Micro 7/29/03 Price Devices WaterhouseCoopers Description Additional Topics An international company with a lack of training/experience in applying US GAAP or GAAS A New Zealand audit manager was not experienced in applying US GAAP or GAAS. This case demonstrates the need for additional supervision given an audit team with virtually no prior experience with a client or its business The concurring partner lacked training and Independence proﬁciency.
2006f). Statement on Auditing Standards No. 109: Understanding the entity and its environment and assessing the risks of material misstatement. New York: AIPCA. American Institute of Certiﬁed Public Accountants. (2006g). Statement on Auditing Standards No. 110: Performing audit procedures in response to assessed risks and evaluating the audit evidence obtained. New York: AIPCA. American Institute of Certiﬁed Public Accountants. (2006h). Statement on Auditing Standards No. 111: Amendment to Statement on Auditing Standard No.