Ten Elements of Generally Accepted Auditing Standards

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Generally Accepted Auditing Standards

Generally Accepted Auditing Standards
Professions within a workplace are monitored and held to standards as dictated by the area of expertise that the employee is educated and trained in. A quality officer is accountable to ISO standards the company participates in, a research and development engineer maintains compliance within scope of the patent they may work on, and the accounting department is held to the standards set by the General Accepted Accounting Principles. The independent or internal auditor is held to the standards as dictated by the Generally Accepted Auditing Standards. The Generally Accepted Auditing Standards consist of ten elements and are applied to financial, operational and compliance audits. The auditors are influenced by the Sarbanes-Oxley Act of 2002 and the Public Company Accounting Oversight Board and strive to maintain within the standards dictated by the board. The ten elements of the Generally Accepted Auditing Standards are separated into three categories: General Standards, Standards of Field Work and Standards of Reporting. According to Boynton and Johnson (2006), General Standards category applies to the knowledge of the auditor and the training and technical proficiency, maintaining and independence in mental attitude and due professional care is exercised in the performance and preparation of the audit report. The Standards of Field Work addresses the planning and assistances of individuals and that there is supervision, an understanding of the entity and its environment, and that there is sufficient competent audit evidence through the audit. The Standards of Reporting ensures that the reporting is presented in accordance to GAAP, principles not consistently observed is identified, informative disclosure in financial statements are adequate and the report shall contain an expression of opinion regarding the financial statements. The ten standards of the Generally Accepted...
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