4.3 Assertion for the period of audit Occurrence transaction and events are recorded or disclosed have occurred and pertain to the entity Completeness all transaction and events that should have been recorded have been recorded and all related disclosures that should been included in the financial report have been included Accuracy amounts and other data relating to recorded transactions and events have been recorded appropriately and related disclosures have been appropriately measured and described Cut-of transaction and events have been recorded in the correct accounting period Classification transaction and events have recorded in proper accounts Presentation transactions and events are appropriately aggregated or disaggregated and clearly described and related disclosures are relevant and understandable Assertion at period end Existence assets, liabilities and equity interests exist Rights and obligations the entity holds or controls the rights to assets and liabilities are the obligations of the entity Completeness all transaction and events that should have been recorded have been recorded and all related disclosures that should been included in the financial report have been included. Accuracy, valuation and allocation assets, liabilities and equity interests are included in the financial report at appropriate amounts; any resulting valuation or allocation adjustments are appropriately recorded, and related disclosures have been appropriately measured and described Classification transaction and events have recorded in proper accounts Presentation transactions and events are appropriately aggregated or disaggregated and clearly described and related disclosures are relevant and understandable 4.6 Sufficiency the quantity of audit evidence necessary to provide the auditor with a reasonable basis for an opinion on the financial report Appropriateness the quality of the quality of audit evidence, which must be relevant and reliable. Relevance is largely a matter of the relationship between the evidence and the financial report assertion involved. The reliability of audit of audit evidence is influenced by its and nature.
4.7 As per ASA 500.A31 (ISA500.A31), factors that influence the reliability of audit evidence include: . Whether it is obtained from independent sources outside the entity . Whether the related controls imposed by the entity are effective for internally generated audit evidence. . Whether it is obtained directly by the auditor rather than obtained indirectly or by inference . Whether it exists in documentary form, be it paper, electronic or other medium . Whether the audit evidence is provided by original documents as it is more reliable compared to audit evidence provided by photocopies or facsimiles 4.8 The audit risk model is a combination of inherent risk, control risk and detection risk. It is designed to focus audit attention on those classes of transactions or balances that are likely to contain material misstatements. The audit risk model is described as follows. AR = f (IR, CR, DR), where: AR = audit risk IR = inherent risk CR = control risk DR = detection risk Assessment of each component is subjective and is based on the professional judgment of the auditor. The levels high, medium or low are generally used, rather than specific percentages. ATQ1: What