Small to medium sized businesses account for the majority of business audits undertaken in Australia each year. For some time, there has been a clear need for a practical guide that focuses on the distinctive qualities, characteristics and factors that need to be considered in this type of audit. The Australian Audit Manual: for Small and Medium Sized Businesses, authored by The Institute of Chartered Accountants in Australia and the International Federation of Accountants, is a highly useful and valuable text for all those practising and studying Auditing and Assurance.

The Manual provides a unique, detailed analysis of the Australian Auditing and Assurance Standards (ASA’s) and a practical ‘how-to’ approach in performing a risk-based audit of a small to medium sized business. It details the key concepts underlying risk assessment, planning and performing risk assessment procedures, understanding the client, responding to risks, evaluating audit evidence and reporting. In addition, the Manual offers some useful practical aids such as:
• An Audit Process Chart highlighting particular activities addressed in each section;
• Overview Sections provide the text of ‘black letter’ requirements of the principal ASA’s;
• Consider Points provide practical guidance on audit matters that can easily be overlooked or where auditors often have difficulty in understanding and implementing certain concepts; and
• An in-depth illustrative case study based on a typical small to medium sized business audit