This course explores common red flags found in financial reporting and revenue recognition that auditors should watch for during an audit. Key topics include identifying unusual patterns in financial statements, such as irregular revenue or expense recognition, discrepancies in accounts, and indicators of financial manipulation. The course also covers red flags in revenue recognition practices, focusing on the application of ASC 606 and the warning signs that suggest improper revenue reporting. This course emphasizes how auditors can detect financial misstatements early and respond effectively.

The other Segments of this series Identifying Audit Risks are:

  1. Identifying Audit Risks - Financial Reporting and Revenue Recognition (Text Based Course)
  2. Identifying Audit Risks - Behavioral and Management Cues (Text Based Course)
  3. Identifying Audit Risks - Internal Controls and Audit Evidence (Text Based Course)
  4. Identifying Audit Risks - Compliance and Going-Concern Issues (Text Based Course)
Learning Objectives
  • Identify red flags in financial statements that suggest potential misstatements or fraud.
  • Recognize common issues in revenue recognition practices that could indicate improper reporting.
  • Discover and distinguish between normal financial reporting practices and warning signs of manipulation.
Last updated/reviewed: January 17, 2025
Prerequisites
Course Complexity: Foundational
No advanced preparation or prerequisites are required for this course.
Education Provider Information
Company: Illumeo, Inc., 75 East Santa Clara St., Suite 1215, San Jose, CA 95113
Contact: For more information regarding this course, including complaint and cancellation policies, please contact our offices at (408) 400- 3993 or send an e-mail to .
Instructor for this course
  Course Overview CPE
Course Syllabus
COURSE MATERIAL
  Identifying Audit Risks - Financial Reporting and Revenue Recognition (Text Based Course)PDF
REVIEW AND TEST
  REVIEW QUESTIONSquiz
 FINAL EXAMexam