From Acceptance to Opening Balances: New Audit Engagements (CAS 210, 510)
Overview
Taking on a new audit engagement brings additional responsibilities, particularly around opening balances. This course provides practical guidance on applying CAS 510, Initial Audit Engagements – Opening Balances, and obtaining sufficient appropriate audit evidence over amounts carried forward from the prior period.
Participants will learn how to apply a “CLEAR” process on initial engagement, including reviewing predecessor auditor working papers, determining when additional audit procedures are necessary, addressing unaudited prior periods, considering accounting policies and prior-period misstatements, documenting conclusions, and understanding the potential impact on the auditor’s report.
Through practical guidance and real-life examples, the course provides auditors with a structured approach to identifying where opening balance risks may arise, determining what evidence is needed, and designing appropriate audit procedures for an initial audit engagement.
Learning Objectives
By the end of the session participants will be able to:
- Understand objective and scope of CAS 510
- Identify audit procedures on opening balances
- Evaluate comparative information and consistency of accounting policies
- Consider the impact on the audit report
- Apply best practices to avoid common pitfalls
Course Content
Module 01
Introduction and Overview: The CLEAR process
Module 02
L: Look at Acceptance Factors
Module 03
E: Establish Terms of Engagement
Module 04
A: Audit Opening Balances
Module 05
R : Report
Module 06
Common Pitfalls and How to Overcome Them
Module 07
Bringing It All Together
Module 08
Resources