How Control Testing Is Done Practically In Top Firms? | Ft. CA Archit Agarwal

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Hi Guys!
In This Video We Will Be Talking About "How Control Testing Is Done Practically In Top Firms?"

A test of controls is an audit procedure to test the effectiveness of control used by a client entity to prevent or detect material misstatements. Depending on the results of this test, auditors may choose to rely upon a client's system of controls as part of their auditing activities.

However, if the test reveals that controls are weak, the auditors will enhance their use of substantive testing, which usually increases the cost of an audit.

A test of controls is made irrespective of the dollar amount of the underlying business transaction. The main point of the test is to see if a control functions properly, so the dollar amount of a transaction is not of consequence to the goal of the test.

If the auditors encounter an error in a test of controls, they will expand the sample size and conduct further testing. If additional errors are found, they will consider whether there is a systematic controls problem that renders the controls ineffective, or if the errors appear to be isolated instances that do not reflect upon the overall effectiveness of the control in question.

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[RaviKasliwal]

These Courses are of Great Value for Students (Especially at Intermediate Level), After Completing "Audit Master-Class" Course I can very-well link terminologies given in the ICAI Module and link that to How Practically a high quality Audit (which complies with SA's, Rules & Regulations, Guidance Notes/Statements by ICAI) Should be Conducted.

[simranparashar]

It is amazing sir and want more videos. I can also relate these with what you used to teach us in audit

[anshuparath]

Fabulous explanation!! U have got a new fan now 👍

[asharahulu]

This is so informative.thankyou for the info.

[rekhams]

Great, simple and easy to understand.
Pls post the link of its continuation/ part 2 of it.

Thank you

[shuvankardey]

Sir, what is the difference between operational control and financial control?

[caranjitmishra]

Hiiii Sir,


whether Any software is available for Risk Control Matrix

[Ganpatibappa_morya]

please help...urgently...
Why caro and IFC are applicable to representative office of foreign bank in india.

[JanakiDS-gg]

Does a mid size audit firms in tier3 city do control testing?
If yes for which entities they can do? Please reply to this🙏

[muthukumars]

Will be great to have this in English please.

[sachinsharma-buuu]

Sir I'm ACCA students so is this relevant for me.

[aniket]

So the firm we join doesn't teach use how to do this?