Hi Sir, I need to know if the responses to the risk identified in the planning stage can be called substantive procedures? If not, what is the difference between responses to risk and substantive procedures and how are they different. I am confused because I have seen a lot of responses to the risks that do not satisfy any assertion and according to my understanding the substantive procedures should be designed to satisfy one or more assertions.
Thank you!
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Responses to risks and Substantive procedures
See page 57 of the notes to get the idea that a response is not necessarily a substantive procedure.
This is a general comment from the examiner's report "An auditor’s response does not have to be a detailed audit procedure, rather an approach the audit team will take to address the identified risk". If you read any examiner's report you will find examples to illustrate this.
Please see also my response here https://opentuition.com/topic/auditors-response-vs-substantive-procedures
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