Audit risk and auditors response

Short answer NO … those are the verbs we use in describing the tests of details/controls and analytical procedures by which we obtain audit evidence e.g. in a “substantive procedures” question – BUT, as the examiner writes in the examiner’s reports, although a response to an identified risk MIGHT be a substantive procedure, it won’t usually.

e.g. if there is a risk regarding an accounting policy that does not comply with IFRS, the first response is to “discuss” – e.g. with FD – with a view to the policy being changed/financial statements adjusted.

Or sometime a response to a risk is that the audit team needs to exercise a higher degree of professional scepticism – e.g. regarding the timing of revenue recognition.

You should find examples and further clarification in the examiner’s reports https://www.accaglobal.com/ie/en/student/exam-support-resources/fundamentals-exams-study-resources/f8/examiners-reports1.html

You’re welcome!