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Vikash ShrivastavaVikash Shrivastava asked 2 years ago
1 Answers
RaviRavi Staff answered 2 years ago

it means apart from monetary amount see if it is repetitive in nature or anomaly / intentional or unintentional / common features means it is present in vouchers of particular  product / location / time period / employee / branch etc all these are qualitative features. so it may be small quantity wise but it can have big impact if it is repetitive / intentional / has common pattern , pattern will help identify extent and ask for rectificaiton 
We have Discussed this in SA 530 under the heading nature & cause of misstatement or deviation, below is summary of the same
Key to Remember
Nature & Cause: –  Investigate deviations or misstatements and evaluate their possible effect on the purpose of audit procedure and on to other areas of audit
Anomaly: – Extremely rare circumstances misstatement or deviation can be anomaly / auditor should obtain high degree of certainty that it is not representative of population / perform additional procedures for the same
Common Features: – Type of Transactions, Location, Product, Period of time / In such case auditor may identify all items in population with common feature and extend audit procedures
Intentional: – If these are intentional then there is possibility of fraud
Qualitative Aspects: – So auditor should go beyond detecting misstatement and deviations and consider qualitative aspects

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