Detail tie in審計意思
"Detail tie in" is a term used in auditing that refers to the process of comparing individual details from the financial statements being audited with the totals or subtotals that those details contribute to. The purpose of this process is to ensure the accuracy and reliability of the financial statements.
Here's how it works:
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Identification of Details: The auditor identifies the individual transactions, account balances, or other details that make up the financial statements.
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Calculation of Totals: The auditor calculates the total or subtotal for each group of details.
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Comparison: The auditor compares the totals calculated from the individual details with the corresponding totals reported in the financial statements.
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Verification: If the totals from the details match the totals in the financial statements, it provides evidence that the financial statements are accurate. If there is a discrepancy, it may indicate an error or fraud that needs to be investigated further.
The "detail tie in" process is an important step in the audit because it helps the auditor to verify the accuracy of the financial statements at a granular level. By ensuring that the details add up correctly, the auditor can provide a higher level of assurance to the stakeholders that the financial statements are free from material misstatement.
This process is typically performed for various types of accounts, such as accounts receivable, accounts payable, inventory, fixed assets, and others, depending on the nature of the business and the risks identified during the audit planning phase.