Return to the current version.]
Section 319, Consideration of Internal Control in a Financial Statement Audit, requires the auditor to obtain an understanding of internal control that will enable the auditor to—
- Identify the types of potential misstatement of the assertions.
- Consider factors that affect the risk that the misstatements would be material to the financial statements.
- Design tests of controls, when applicable.
- Design substantive tests.
[Revised, May 2001, to reflect conforming changes necessary due to the issuance of Statement on Auditing Standards No. 94.]