Programme Objective
To provide audit professionals with practical guidance on the audit of derivatives through active discussions, sharing of experiences and reinforcement of key concepts and requirements.
Participants will develop an understanding on:
1) What are derivatives, their application by entities for hedging, asset/liability management or speculative purposes and the related business risks
2) The key recognition, measurement and disclosure requirements for derivatives, especially in relation to use of derivatives for hedging purposes
3) The common audit risk areas and the risk of material misstatement relating to derivatives
4) The common internal controls processes (nature, extent and timing) over financial instruments, the risks addressed by them, the results of these tests of controls and their implications for planning substantive tests of derivatives.
5) The common substantive procedures (nature, extent and timing) to audit various assertions related to derivatives.
6) Evaluation of audit findings and draw appropriate audit conclusions for derivatives
Programme Outline
- Overview on audit of Financial Instruments
- Audit Planning and Resources
- Understanding the entity’s business and its environment
- Risk assessment
- Audit procedures
- Introduction to Derivatives and Embedded Derivatives
- Identification and assessment of risks of material misstatement at assertion level for derivatives, taking into account relevant mitigating internal controls.
- In-depth discussion on the following selected key audit areas:
- Hedge Accounting under IAS 39 / FRS 39
- Hedge Accounting under IFRS 9 / FRS 109
- Key accounting requirements under IFRS 9 / FRS 109.
Training Methodology
Lecture style, with practical illustrations, technical flow-charts, knowledge checks and interactive discussions.
Closing Date for Registration
1 week before programme or until full enrolment.
Intended For
An intermediate to Advanced level programme for Audit professionals.
Schedule & Fees
Testimonial
Funding
No funding Available!
Programme Facilitator(s)
Programme Objective
To provide audit professionals with practical guidance on the audit of derivatives through active discussions, sharing of experiences and reinforcement of key concepts and requirements.
Participants will develop an understanding on:
1) What are derivatives, their application by entities for hedging, asset/liability management or speculative purposes and the related business risks
2) The key recognition, measurement and disclosure requirements for derivatives, especially in relation to use of derivatives for hedging purposes
3) The common audit risk areas and the risk of material misstatement relating to derivatives
4) The common internal controls processes (nature, extent and timing) over financial instruments, the risks addressed by them, the results of these tests of controls and their implications for planning substantive tests of derivatives.
5) The common substantive procedures (nature, extent and timing) to audit various assertions related to derivatives.
6) Evaluation of audit findings and draw appropriate audit conclusions for derivatives
Programme Outline
- Overview on audit of Financial Instruments
- Audit Planning and Resources
- Understanding the entity’s business and its environment
- Risk assessment
- Audit procedures
- Introduction to Derivatives and Embedded Derivatives
- Identification and assessment of risks of material misstatement at assertion level for derivatives, taking into account relevant mitigating internal controls.
- In-depth discussion on the following selected key audit areas:
- Hedge Accounting under IAS 39 / FRS 39
- Hedge Accounting under IFRS 9 / FRS 109
- Key accounting requirements under IFRS 9 / FRS 109.
Training Methodology
Lecture style, with practical illustrations, technical flow-charts, knowledge checks and interactive discussions.
Closing Date for Registration
1 week before programme or until full enrolment.
Intended For
An intermediate to Advanced level programme for Audit professionals.
Programme Facilitator(s)
