This study examines the relation between auditor risk assessments and sample size decisions for a sample of 235 audit sampling applications from 64 audits of medium-sized companies performed by three large accounting firms. Auditors relied on controls and assessed inherent risk below the maximum...

To contribute to the PCAOB project on risk assessment in financial statement audits, we draw on the academic literature to offer insights and conclusions on the risk-assessment process. We use the PCAOB's (2005) recent briefing paper on risk assessment as the organizing framework for our...

According to SAS No. 56, Analytical Procedures, the use of disaggregate, individual location data can improve the effectiveness of analytical procedures used in multilocation audits. Using a case-study approach, we investigate whether improvements in the accuracy and precision of account balance...