Page |1
Pre-engagement Activities
for Financial Statement Audits under AICPA Standards (AU-C)
Notes by J. Donelan for UWF. 2020. All rights reserved.
1.0 Module Overview...........................................................................................2
2.0 A Summary of the Audit Process................................................................3
3.0 Purpose of Pre-engagement Activities......................................................4
4.0 Client Acceptance................................................................................................5
5.0 Client Continuance Procedures..................................................................7
6.0 Compliance with Ethics Requirements and Performance Responsibilities
.....................................................................................................................8
7.0 Reach a Contractual Understanding with the Client.............................10
8.0 Homework....................................................................................................13
JDMC3 ............................................................................................................................13
JDMC4 ............................................................................................................................14
JDMC5 ............................................................................................................................15
JDMC5 ............................................................................................................................15
JDMC6 ............................................................................................................................16
JDMC7 ............................................................................................................................16
JDMC8 ............................................................................................................................17
JDMC9 ............................................................................................................................18
JDMC10 ..........................................................................................................................18
JDMC11 ..........................................................................................................................18
JDMC12 ..........................................................................................................................19
JDMC13 ..........................................................................................................................19
Donelan52.................................................................................................20
Donelan53.................................................................................................20
Donelan52 solution.....................................................................................20
Donelan53 solution.....................................................................................20
Solutions.......................................................................................................20
Pre-engagement activities. Page 1 of
, Page |
1.0Module Overview
Required Reading Assignment
Read this document
Optional Reading (Not Required)
• AU-C 210 Terms of Engagement, sections .01 - .17 and.A1 - .A31. See
eLearning for the PDF version of this section of the standards.
A Preliminary Note about AU-C Code
All code sections are organized as follows:
1. Objectives
2. Definitions
3. Requirements (the body of the standard)
4. Other explanatory information (expansion, explanations, and examples
that expand and amplify the requirements portion of the standard.
Parts 1, 2, and 3 of all AU-C code sections use paragraph numbering, e.g., .
01, .02, etc. Part 4 using paragraph numbering with an “A” prefix. Cross-
references are always provided between the A-prefix and the other sections.
Self-Study Homework
Study all the homework on your own.
Video
There is a 17-minute video for this module.
Pre-engagement activities. Page 2 of
, Page |
2.0 A Summary of the Audit Process1
Contents of this module
1 By Dr. D, based on AU 300, 315, 320, 330
Pre-engagement activities. Page 3 of
Pre-engagement Activities
for Financial Statement Audits under AICPA Standards (AU-C)
Notes by J. Donelan for UWF. 2020. All rights reserved.
1.0 Module Overview...........................................................................................2
2.0 A Summary of the Audit Process................................................................3
3.0 Purpose of Pre-engagement Activities......................................................4
4.0 Client Acceptance................................................................................................5
5.0 Client Continuance Procedures..................................................................7
6.0 Compliance with Ethics Requirements and Performance Responsibilities
.....................................................................................................................8
7.0 Reach a Contractual Understanding with the Client.............................10
8.0 Homework....................................................................................................13
JDMC3 ............................................................................................................................13
JDMC4 ............................................................................................................................14
JDMC5 ............................................................................................................................15
JDMC5 ............................................................................................................................15
JDMC6 ............................................................................................................................16
JDMC7 ............................................................................................................................16
JDMC8 ............................................................................................................................17
JDMC9 ............................................................................................................................18
JDMC10 ..........................................................................................................................18
JDMC11 ..........................................................................................................................18
JDMC12 ..........................................................................................................................19
JDMC13 ..........................................................................................................................19
Donelan52.................................................................................................20
Donelan53.................................................................................................20
Donelan52 solution.....................................................................................20
Donelan53 solution.....................................................................................20
Solutions.......................................................................................................20
Pre-engagement activities. Page 1 of
, Page |
1.0Module Overview
Required Reading Assignment
Read this document
Optional Reading (Not Required)
• AU-C 210 Terms of Engagement, sections .01 - .17 and.A1 - .A31. See
eLearning for the PDF version of this section of the standards.
A Preliminary Note about AU-C Code
All code sections are organized as follows:
1. Objectives
2. Definitions
3. Requirements (the body of the standard)
4. Other explanatory information (expansion, explanations, and examples
that expand and amplify the requirements portion of the standard.
Parts 1, 2, and 3 of all AU-C code sections use paragraph numbering, e.g., .
01, .02, etc. Part 4 using paragraph numbering with an “A” prefix. Cross-
references are always provided between the A-prefix and the other sections.
Self-Study Homework
Study all the homework on your own.
Video
There is a 17-minute video for this module.
Pre-engagement activities. Page 2 of
, Page |
2.0 A Summary of the Audit Process1
Contents of this module
1 By Dr. D, based on AU 300, 315, 320, 330
Pre-engagement activities. Page 3 of
