Depending then on the engagement type, circumstances and assertions, it is the auditors task to determine the nature, timing, and amount of evidence to accumulate and then to evaluate that evidence. Also, since evidence types differ in their persuasiveness, this must be considered as well. External auditors and accountants provide, among other things, compilation, review, and audit services. These services reflect different levels of assurance or non- assurance. The accountant-auditor must determine the nature, timing and amount of evidence to accumulate after considering the assurance level implied by the engagement type.
Internal auditors have objectives similar to external auditors.
They assist in the design of the entity's control policies and procedures and perform tests to determine the degree of conformance with the specified requirements. Internal auditors are an integral part of the control structure. In addition, they assist management in achieving the entity's operational objectives. This course then is relevant to students entering any field in accounting whether it be in public accounting, industry, or government. The first five chapters and chapter 19 describe the auditing environment and the types and requirements of the reports auditors and accountants issue.