PEG Content Updates - Review
Function changes
| Form Numbers | Description |
|---|---|
| 1-10, 1-20 | When moderate or high risk is selected in the conclusion area, a list of entity and engagement risk factors are generated that are now clickable and are automatically linked into Engagement scope 2-20-1. |
| 2-05-1, 2-05-2 | When areas identified in the F/S where material misstatements are likely to arise are selected, it is automatically linked into Engagement scope 2-20-1. |
| 2-20-1 | Engagement scoping has been split into two forms. 2-20-1 and 2-20-2. 2-20-1 allows the user to document areas of likely misstatement. 2-20-2 is the scoping document . |
| Work Programs | All work program tailoring questions have been updated to use just Yes or No responses. Tailoring questions have been made into subprocedures. |
Forms with moderate revisions
| Form Numbers | Description |
|---|---|
| 1-20 | Very minor wording / editorial revisions. Question added relating to the purpose of the review engagement that was previously omitted. |
| 2-05-2 | Additional general inquiries added. |
| 2-20 | Added new section to highlight financial statement disclosures where material misstatements are likely to arise. |
| 3-20 | Added point under analytical review to consider whether the data used is appropriate. Related-party transactions moved to Part B, and new procedure added for estimates. |
| 3-A, 3-AA | Added point under analytical review to consider whether the data used is appropriate. Cut-off procedures moved from Part B to Part A. New procedure for related-party transactions added to Part B. |
| 3-C, 3-BB, 3-GG | Added point under analytical review to consider whether the data used is appropriate. Cut-off procedures moved from Part B to Part A. New procedure for estimates added to Part B. |
| 3-CC | Added point under analytical review to consider whether the data used is appropriate. Cut-off procedures moved from Part B to Part A. New procedure for estimates added to Part B. Added new procedure to Part E relating to search for unrecorded liabilities. |
| 3-D | Added point under analytical review to consider whether the data used is appropriate. Procedures for inventory count have been separated into whether or not the client performed a physical count. Cut-off procedures moved from Part B to Part A. New procedure for estimates added to Part B. |
| 3-E, 3-FF-1, 3-UU-1, 3-UU-2 | Added point under analytical review to consider whether the data used is appropriate. New procedure for estimates added to Part B. |
| 3-KK | Added point under analytical review to consider whether the data used is appropriate. Cut-off procedures moved from Part B to Part A. Amended procedure for debt extinguishment / modification and added a new procedure for estimates to Part B. In Part E, added a procedure to year-end listing for significant new advances. |
| 3-L, 3-N | Added point under analytical review to consider whether the data used is appropriate. Cut-off procedures moved from Part B to Part A. New procedures for related-party transactions and estimates added to Part B. |
| 3-U | Added point under analytical review to consider whether the data used is appropriate. Cut-off and related-party transactions procedures moved from Part B to Part A. New procedure for estimates added to Part B. New procedure added to Part E for assets no longer in use. |
| 3-W | Added point under analytical review to consider whether the data used is appropriate. New procedures for related-party transactions and estimates added to Part B. |
Forms with minor revisions
| Form Numbers | Description |
|---|---|
| 3-10 | Added a new section to document the individuals to whom inquiries were made, their position and the date of the inquiry. Corrected the wording in Point 7. |
| 3-95 | Added question for consideration as to whether the data used for analytical review is appropriate. |
| 3-97 | Re-ordered questions so that first-time adoption procedures are now at the bottom of the form. |
| 4-10 | Added guidance on anticipated routine adjustments recorded by management. |
| 5-10 | Added procedure relating to the financial statements and disclosures. |
| 1-10, 2-05-1, 5-20, 6-10 | Minor wording revisions. |
Letters with major revisions
| Form Numbers | Description |
|---|---|
| RL1.1 | Updated paragraph on communications, some minor editorial revisions, and the modification and addition of common legal terms and conditions relevant to engagement letters. |
| CL1.1 | Updated with the modification and addition of common legal terms and conditions relevant to engagement letters. |
Letters with moderate revisions
| Form Numbers | Description |
|---|---|
| RL2.2 | More detailed requirements provided for management assistance for related-party transactions, estimates and going concern. |
Letters with minor revisions
| Form Numbers | Description |
|---|---|
| RL1.2 | Reference changed. |
| RL1.3, RL2.1 | Minor wording revisions. |
This online help system applies to all CaseWare Audit, Review, and Compilation products. Not all features are available in all products.
