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What is the difference between Test of Controls and Substantive Tests?

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Question added by Deleted user
Date Posted: 2014/08/22
Mir Mujtaba Ali
by Mir Mujtaba Ali , Internal Audit Manager , Confidential

The auditors asses the effectiveness of internal control system i.e investigate both design and its operation. Testing of controls and procedures are tests of control

A substantive test may involve checking random sample of transactions for error / fraud comparing account balances to find discrepancies, or analysis and review of procedures used to execute and record transactions.  

Abu Bakr Awan
by Abu Bakr Awan , Deputy Manager Finance , Urban Developers Associates

test of control  for cheking controls of company  and auditor will decide thier work of substantive procedure on test of controls, substantive preocedures for checking of mistatement on accounts by control failing.

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