Analytical Procedures: Methods and Evaluation 2024

Overview

Analytical procedures evaluate financial information through the examination of plausible relationships among both financial and non-financial data. They also encompass such investigation, when necessary, of the identified fluctuations or relationships that are inconsistent with other relevant information or that differ from expected values by a significant amount.

Highlights

• Review of the appropriate audit and review standards
• Identifying appropriate analytical procedures in the circumstances
• Developing expectations
• Designing and performing analytical procedures
• Investigating results of the procedures performed
• Introduction to data analytics

Prerequisites

None

Designed For

Accountants and CPAs that perform audit and review engagements.

Objectives

• Recognize financial statement areas where analytical procedures can be used effectively
• Determine the appropriate procedures to perform and which financial ratios and benchmarks to evaluate in consideration of the company's industry statistics and the economic environment
• Identify the circumstances when additional investigation of the results of the procedures is required

Preparation

None