Audit evidence
The information an auditor relies on to support a conclusion.
Good evidence is sufficient (enough of it), reliable (trustworthy) and relevant (it actually addresses the audit objective). Evidence from independent outside sources is more reliable than evidence from the auditee, and evidence the auditor obtains directly (observation, re-performance) beats what they are told.
On the exam
When asked for the BEST evidence, pick the most independent and direct option: re-performing a control beats a policy document or an interview.
Related terms
- Audit riskThe risk of reaching the wrong conclusion about what you audited.
- Sampling (statistical and judgemental)Testing part of a population to conclude about the whole.
- Audit trailA record that lets you reconstruct who did what, and when.
Test yourself with today’s question of the day.