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Sir when we an auditor does substantive test what is the evidence there? Is it the working papers? does all evidence have to be written form? what is the difference between audit documentation and audit evidence?
See Chapter 24 – Audit documentation/working papers (the terms means the same thing) are a record of everything relevant to the audit – so not just audit evidence but audit appointment, planning the audit …. reporting to management (see page 45).
See page 63 in the audit evidence chapter e.g. “written evidence is much better than oral [evidence]” … so no – not all evidence is written.
BUT all evidence that supports the auditor’s conclusions/opinion will have to be documented in the audit working papers.
For example … the financial statements include “property” which is a factory.
Does the factory exist?
The auditor visits it – yes it exists.
The audit evidence is the physical asset that is the factory. This cannot be “put on file”, so the auditor documents that the factory was physically inspected on such-and-such a date, by whom, and maybe includes a photo (!)
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