Includes index.

Part 1 Professional responsibilities: the role of the auditor in the American economy; professional standards; auditors' reports; professional ethics; legal liability of auditors. Part 2 The design of audits: audit evidence and documentation; planning the audit - designing audit programmes; internal control. Part 3 Technology and sampling approaches: consideration of internal control in a computer environment; audit sampling - concepts and techniques; audit sampling - applications for substantive tests. Part 4 Testing cycle controls and performing substantive tests: revenue cycle - obtaining an understanding and testing controls; revenue cycle - substantive tests; auditing the acquisition cycle; auditing the conversion and payroll cycles; auditing the financial cycle; auditing the investment cycle; auditing operations and completing the audit. Part 5 Other responsibilities: other attestation and accounting services; internal, operational, and compliance auditing.

Designed for a one-semester introductory auditing course, this book aims to reflect the changing audit environment, and is based on a transaction-cycles approach to the auditing course. It focuses on audits of financial statements, but also covers internal control and operational auditing.