How to know if Audit evidence are reliable?

All audit evidence are deemed reliable. Audit evidence should be sufficient and appropriate. Auditor’s should acquire accounting records and reliable information.

Compare different audit evidence:

  • Outside sources evidence are more reliable than internally generated audit evidence because they are persuasive rather than conclusive.
  • Audit evidence coming from effective internal control evidence are more reliable than ineffective internal control.
  • Direct knowledge are more reliable than indirect knowledge. Auditor’s direct knowledge.
  • Orally and written or documentary evidence. Written representation are more reliable than oral evidence.
  • Original documents are more reliable than photocopies of evidence.
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About Jonathan Ruiz CPA

Entrepreneur, CPA Mentor, Stock market Newbie Mentor, Influential Author and Master's Degree in International Business graduate in Hult International Business School, UK. A father of two lovely daughters.
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