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Auditing & Assurance › Audit Evidence & Procedures

How does the auditor evaluate the work of a management's expert?

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Answer

Under ISA 500/620, the auditor evaluates the expert's competence, capabilities, and objectivity; obtains an understanding of their work; and assesses the appropriateness of their work as audit evidence—reviewing methods, assumptions, and source data. If the expert's work is insufficient, the auditor performs additional procedures or engages an auditor's expert.
Real-world example For a property valuation by management's valuer, the auditor checks the valuer's credentials and challenges the key assumptions.

Common follow-ups: Management's expert vs auditor's expert? | What if the expert's work is inadequate?

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All 18 Audit Evidence & Procedures questions