Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AA Exams › Tests of control
- This topic has 3 replies, 2 voices, and was last updated 7 years ago by Ken Garrett.
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- August 16, 2017 at 4:11 pm #402091
Is obtaining written representation an example of test of control since it is similar to enquiring?
August 17, 2017 at 10:01 am #402174No. Enquiry is not necessarily a test of control either as you might simply be asking if they split out VAT on purchases. That tests no control.
Written representation is substantive evidence.
August 17, 2017 at 10:11 am #402177However, there are scenarios I’ve seen where enquiry could be a reliable test of control, for example, Enquiring of the finance director as to how changes to the masterfile are being performed.
August 17, 2017 at 6:16 pm #402239I said that enquiry is not necessarily a test of control. For example:
1 Do you approve invoices? This is a test of control, though weak, as it is addressimg a control function, the checking.
2 Are there any liabilities that have not been recognised in the FS? This is not a ToC. No controls are being checked. It is a weak substantive test.
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