Audit Evidence and Method of obtaining evidence

Audit evidence is one of the basic principle governing an audit . Audit evidence includes
all internal and external evidence which are
base of reporting of auditor.


An Auditor should get all evidence in the process of his auditing work. This is the test which tells auditor that internal control is prefect or not .


Method of obtaining evidence


1. Inspection


This is the main method of getting the evidence of audit . Inspection means checks all records , documents , and physical assets and satisfy with their trust


2. Observation

Observation is also main method of audit evidence . In this way auditor gets the Testimony of witnesses.
After this auditor can reach on the pin points of truth .


3. Inquiry and Confirmation



→ Inquiry is research of internal and outside information relating to accounting.


→ Confirmation consists to responses on inquires . After true confirmation, auditor can trust and audit evidence .


4. Computation


Computation is calculation of correctness of accounting data.


5. Analytical Review


With the medium of Ratio analysis , auditor can check the accounting information , this is called analytical review.