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The terms defined on this page have all appeared in past CPA exam questions, so they are worth knowing if you are studying for the auditing exam. There is no need to memorize each term and its definition verbatim, but you should at least know what each terms means along with the concepts surrounding them. You can also use this list to test your general knowledge of the topics covered on the AUD exam section. All of these terms should be covered in any CPA review course text book.

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Auditors issue an unqualified report after they gather sufficient competent evidence and conduct the audit according to generally accepted auditing standards GAAS using financial statements that the client prepares using GAAP.

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SAP 47 covered the subject matter of this. On other hand SAS 29, created a difference in responsibilities for types of reissued reports. If the client is furnished with additional copies of a previously issued report, the auditor has no responsibility to perform any procedures prior to reprinting the report unless the auditor has become aware of the need to adjust or make disclosure in the financial statements. In the case of a predecessor auditor consenting to reuse a previous report, additional procedures are always required.

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