Conducting and Supervising CFO Act Financial Statement Audits Course
IDAUDT8025

Module 1: Framework for Financial Statement Report and Related Audit Requirements

• Understand key legislation such as the CFO Act, GPRA, GMRA, FFMIA, and PIIA.
• Explore the structure and objectives of federal financial reporting frameworks.
• Review audit-related OMB circulars and GAO standards for compliance and accountability.
• Assess the components and importance of Performance and Accountability Reports (PAR) and Agency Financial Reports (AFR).

Module 2: Introduction to Financial Statements and Reporting

• Identify and describe federal financial statements: Balance Sheet, SBR, SCNP, etc.
• Understand the basis of accounting: budgetary and proprietary.
• Analyze the structure, purpose, and components of federal reports under OMB Circular A-136.
• Apply knowledge of financial statement assertions and audit implications.

Module 3: Planning Phase of the Financial Statements

• Develop audit plans and determine scope using GAO/CIGIE methodology.
• Apply risk assessment procedures, materiality thresholds, and internal control evaluations.
• Understand entity operations, environment, and financial systems for audit planning.
• Establish audit strategy and assign team responsibilities accordingly.

Module 4: Internal Control Phase of the Financial Statements

• Evaluate internal control effectiveness using FISCAM and GAO Green Book standards.
• Identify and test information system controls and general control categories.
• Prepare Line-Item Risk Analyses and Specific Control Evaluations.
• Assess compliance with laws and IT security frameworks like FISMA.

Module 5: Testing Phase of the Financial Statements

• Execute audit test plans and apply substantive testing and audit sampling methods.
• Design and perform control, compliance, and substantive procedures.
• Evaluate fraud risks, system control effectiveness, and misstatement impacts.
• Conduct audit sampling and interpret analytical and detail testing results.

Module 6: Reporting Phase of the Financial Statement Audits

• Develop audit findings and determine audit opinions (unmodified, modified, disclaimer, adverse).
• Document internal control deficiencies, material weaknesses, and compliance issues.
• Evaluate management’s responses and prepare final audit reports.
• Apply materiality principles and assess uncorrected misstatements’ impact.