Assessment Test - Control, Compliance & Substantive
Hi!
As you may know, one of my goals as a professional is to inspire people to innovate, thus
helping to develop their knowledge, improving their skills.
For this,
one of the ways I use is the creation of specialist figures, like the one
above.
• When we
are carrying out an evaluation of the process and the internal control system,
whether by the internal controls area, or by the internal audit, it is very
important that the definition of the procedures and techniques used are aligned
with the nature of the evaluation, whether it is an evaluation performance,
compliance, and/or accounting.
• The
choice of which test to apply in gathering the evidence needed to issue an
opinion must also take into account the scope and object of what is being
evaluated.
• In this
figure, the three types of existing tests and the attributes for their
applicability are described, according to my understanding.
• You will
usually find substantive and compliance tests in the existing bibliography,
considering compliance to be the test that applies in the validation of control
or else in the assessment of legal compliance.
• I
segregate this test into two: control test, which is used to test the
effectiveness of the control and compliance test, which is used to assess
whether the activity and/or product of the process was performed in accordance
with legal requirements.
I hope that this understanding and this figure is useful for your professional activities, and I am available for any doubts that may exist. Enjoy and follow us on Instagram, Linkedin, Facebook, and the TV Crossover Brazil channel on Youtube.
Be happy,
Eduardo
Person Pardini