From Company “Sociality” to Social Enterprise

The Use of Specialists on Audit Engagements

AUTHORS

Dr Ahmed Eltweri

Assistant professor in Accounting- Liverpool John Moores University

Dr Alessio Faccia

Assistant professor in Finance- University of Birmingham

ABSTRACT

Regulators and acdemics paying attention towards the use of specialist from other professions than the audit profession, to be involved on audit engagements. The multidisciplinary team may contain specialists such as information technology (IT), tax, use of valuation, and forensic.

International Standard on Auditing (UK) 620 (Revised June 2016) using the work of an auditor’s expert concluded that in some cases, law or regulation may require a reference to the work of an auditor’s expert, for example, for the purposes of transparency in the public sector. On the same vien, Public Company Accounting Oversight Board (US) AS 1210: using the work of an auditor-engaged specialist: the objective of the auditor is to determine whether the work of the auditor-engaged specialist is suitable for the auditor's purposes and supports the auditor's conclusion regarding the relevant assertion.

Since specialists are not officially audit personnel but included in the audit team, the auditor assumes responsibility for the specialist’s work in supporting the audit opinion, and using specialists does not always translate to higher audit quality (Boritz, KochetovaKozloski, & Robinson, 2015). Therefore, the importance of specialists on audits and the increased interest in specialists’ involvement motivate this review.

KEYWORDS

International Standard on Auditing (UK) 620, Public Company Accounting Oversight Board (US) 1210, audit engagement, Expert, audit quality

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