By completing this course, you will understand how to:
- define related parties and related party transactions as per ISA 550 and IAS 24, and identify indicators of undisclosed relationships in audit engagements
- perform risk assessment procedures for related party relationships and design appropriate audit responses based on assessed risks
- analyse related party transactions for economic substance, legitimacy, and disclosure accuracy using case-based scenarios
- verify compliance with ISA 550 disclosure requirements, identify omissions, and determine appropriate auditor responses and modifications to the audit report
- apply best practices for communicating with management and those charged with governance, and document related party findings to support audit conclusions
- relate ISA 550 procedures to other relevant ISAs, including fraud assessment (ISA 240) and risk identification (ISA 315), to improve audit consistency.
