Document ID: chunk:federal_register_of_legislation:F2017C00509:body:0:p13
Version: federal_register_of_legislation:F2017C00509
Segment Type: other
Provision Reference: 
Character Range: 31396–34204

(e) perform such other activities relating to the determination of the risk of misstatements in the matter being audited that the audit team leader thinks appropriate.
 (2) In carrying out an assurance engagement, the audit team leader must consider the risk of fraud in the matter being audited.
 (3) In assessing a particular identified risk, the audit team leader must consider not just if that risk increases the possibility of a misstatement in the matter being audited but also if that risk, together with other identified risks, increases that possibility.

3.11  Tests of audited body's systems and processes
 (1) If the audit team leader carries out the audit procedure mentioned in paragraph 3.9 (2)(a), the audit team leader must design tests of the systems and processes that the audited body has in place to ensure the reliability and accuracy of the matter audited throughout the period to which the audit relates.
 (2) The audit team leader may also rely on evidence about those systems and processes gained in previous Part 6 audits relating to the audited body.
 (3) If the audit team leader is relying on a previous audit's evidence, the audit team leader must:
 (a) gather evidence to evaluate whether changes in those systems and processes have occurred since the previous audit was carried out; and
 (b) perform appropriate procedures, during the audit, to establish the continuing relevance of the previous audit's evidence in relation to those systems and processes.
 (4) In testing those systems and processes, the audit team leader must consider the following:
 (a) the frequency of the performance of the systems and processes by the audited body during the period to which the assurance engagement relates;
 (b) the length of time during the period to which the assurance engagement relates in which the audit team leader is relying on the operating effectiveness of the systems and processes;
 (c) any evidence about the reliability and accuracy of the systems and processes in preventing, detecting and correcting misstatements in the matter being audited;
 (d) the extent to which the audit team leader plans to rely on the systems and processes in the assessment of the risk of misstatements in the matter being audited.

3.12  Use of evidence from previous audits
  If the audit team leader intends to use evidence gained from the performance of procedures undertaken in an earlier Part 6 audit of the audited body, the audit team leader must undertake procedures during the current assurance engagement to establish the continuing relevance of the evidence gained from the previous audit.

3.13  Gathering evidence
 (1) In carrying out the assurance engagement, the audit team leader must gather sufficient evidence to support the conclusion of the assurance engagement.
 (2)