Generally Accepted auditing standards (GAAS) GENERAL STANDARD NO.

1
- In auditing we are acting here as an auditor. - The audit is to be performed by a person or
- Procedure to conduct a statement persons having adequzte technical training
- Independent auditor – not part of company and proficiency as an auditor.
- Pag aaudit ng f/s ng company - What does auditor training and proficiency
- You are the external auditor involve
o Continuing education (120
What? educational units for the span of
- Examination of historical financial 3yrs)
information o Specific education in auditing
o Accumulate evidences of historical o Professional Experience
financial information, iisa isahin ang
laman ng balance sheet. GENERAL STANDARD NO. 2
Who? - In all matters relating to the assignment, an
- Certified Public Accountant independence in mental attitude is to be
When? maintained by the auditor or auditors
- Year-end or/ - Kahit na sabihin na 1percent ang hsare mo
- Interim (Nakita mo na na maganda okay you are still a stockholder,
lang na mag interim) - Appearance – you should not hold any stock
Why? holder.
- Express an opinion (credibility) - In fact/mind – you are a major sh you have
Where? significant share
- Audit report
- Standard parts GENERAL STANDARD NO. 3
How? - Due professional care is to exercise in the
- GAAS performance of the audit and the
preparation of the report.
- Ang auditor kailangan mag possess ng due
professional care, sa pag eeexercise ng pag
aaudit at pag rreport
- Audit – professional care in the conduct in
the field work. In the performance of audit
procedure.
- Report – kailangan naka sunod parin tayo sa
standard, should be based on the complete
working papers
- Professional Skepticism – lagi kang
nagtatanong at hindi naniniwala ka agad
agad.
- Ang audit ay not absolute, walang perfect
sap ag aaudit. Binibigay lng natin is ung
- Because we are member of IFAC, so reasonable assurance.
kailangan natin I adopt ung standards nila. - Hindi mo kailangan computein lahat kukuha
Requirement para maging member din tayo ka lng ng SAMPLES
ng IFAC -
Standard of Fieldwork No. 1 - We can able to assess the risk of material
- The work is to be adequately planned and misstatement.
assistants, if any, are to be properly - Kapag maganda ang policy, mababa ang
supervised risk, maganda rin ang internal control

- Substantive test – actual audit procedure

(may kinalaman sa evidences)

o Acctg records
 Invoices, book of accounts,
receipts etc

- Sufficient – number of evidences (there is

no require # of evidences)
- Appropriate – quality of evidences
- Corroborative evidential matter – one
evidence is supported by other evidences
-

Junior auditor – isa isa muna ang inaaudit mo, may

specific ka lang na inaaudit

- More reliable ang outside since it is

independent
- More reliable ang evidence pag si auditor
mismo ang nakapag accumulate, nag oslve
- Policies and procedures established by the
at nag gather. Compare run sa mga
management; this is the client of auditor.
evidemces n narinig nya lng
- gagawa ka na ng report - General purpose: pag binasa mo ung accnt
- It should be expressly provided in the report hindi ito account by account
(isusulat mo ) - Taken as a whole: you are preparing a
statement in an entire company.

- Implicit to
- di ko to nagets - Unmodified/unqualified opinion: highest
form

- Modifies opinion – exception

o Qualified opinion – hindi lahat ng

accts sa fs ay fairly stated, material
(pervasive – hindi kalat)