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Are Audit procedures same as substantive procedures
Often referred by mnemonic AEIOU.
Analytical procedures, Enquiring, inspection, Observations.RecalcUlation?
Short answer – no – substantive procedures are all examples of audit procedure – but there are many audit procedures that are not substantive procedures (e.g. risk assessment procedures and tests of controls).
“AEIOU” is a mnemonic I actually “invented” 35 years ago, to remember the “evidence gathering procedures” identified in ISA 500 Audit Evidence – it was a “cheat” at the time to use “U” for recalcUlation (but seems people remembered it!) It works pretty well for substantive procedures but for tests of controls it is reperformance (rather than recalculation), there is no “A” and “E” alone is never sufficient as a ToC (this is all covered in our notes – I do not have to hand to say on what page).