What are the risks associated with electronic confirmations?

What are the risks associated with electronic confirmations?
March 20, 2020 Comments Off on What are the risks associated with electronic confirmations? Assignment Assignment help

1. AU Section 330 (The Confirmation Process) (AS 2310 in PCAOB Standard) explains how the assessed level of inherent and control risk determines the type of evidence auditors should obtain. According to the standard, when should auditors consider confirmation procedures rather than using documents clients provided?
2. In the case, fraud was revealed when regulators moved to electronic confirmation of bank balances. What are the advantages of electronic confirmations?
3. What are the risks associated with electronic confirmations? How can an auditor gain confidence in the reliability of responses received electronically (Hint: AU Section 9330 – Auditing Interpretation of Section 330)?

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