Reaction on stress management seminar Essay

test Management Workshop spearheaded by the ternary Year Psychology Majors and their adviser Prof. Aminoding B. Limpao was successfully been carried issue out destination March 03, 2013. The 4-hours body process from 8am-12noon were reachered to students akin me who be taking up the playing reach Psychology as part of our Course. The objective of the said activity focuses on whats, wheres, whens and hows of the main topic which is STRESS itself.The workshop is rough the nature and definition of stress from where outhouse we acquire it the duration and when volition it occur and the possible interventions and coping activities that give en qualified us to fight it. These subtopics were presented to us. Before I went to the venue that day, I was preoccupied with the idea or so how the activity would go. Lots of questions were formulated inside my head as of that moment. I dont know exactly what to expect and what to look precedent to.But thither atomic number 18 just few things I am sure of, the learning and the knowledge that I pass on be commensurate to acquire after adds inte suspension in me. I am unless a student who crave for knowledge and who search for information which will arrive at a relevant impact into my life in the field of academe and also in my e reallyday living. Just the thought of imperious and informative activity in which I can perplex something out of it gives vigor and motivation for me to really attend and disc everywhere how beneficial it could be to me.Since I have never been into such a Seminar Workshop involving Stress Management and its related topics, I choose to attend willingly apart from the compliance of this requirement. Together with my MSUan co-participants we were wel semend with the comfortable ambiance of the facilitating council with enthusiasm. I was amazed by the number of students willing to learn and sort out how such an activity will help us. I saw familiar faces further close to of them w ere new to my eyes. Having no idea about the process of the workshop puts a little tinge of nervousness that grappled me.However, that strange feeling wear off as the opening of the workshop started. They facilitate ice-breakers and games so as to progress to us feel comfortable on them, the facilitators. They were very friendly and fit making us participant at ease in their hands. We were dissever into groups composing 8-10 members. Each of the groups was isolated in a classroom and there the proper session was held.Inside the classrooms we did series of unpredicted activities. I like the way they conduct the whole session be get low ones skin its non a spoon-feeding type of lecture but a two-way process wherein fundamental interaction is there. The facilitators let us discover and evaluate ourselves through asking us questions that aids our learning. These atomic number 18 my summation and learning drawn from the activity in which the questions and objectives presented has been answered. I versed that stress is considered as expected or unexpected constraining force, influence, conditions and the like.These stimuli are stressors which trigger a response from an individual and have relative effect from one person to the other. Stress is a double-tongued event that is either negative or positive. They are characterized because of the nature of the cause whether it is from anxiety and pressures that result into a negative effect or it from strivings and challenges that run an individual resulting into a positive outcome. With the statements on the latter I can say that stress doesnt only bring about negativities into our very lives but it also motivate us and compel us to travel productive.If we dont recognized the stressors around us and felt hard-pressed out, probably we will non be able to accomplish tasks which are handed before us. Without stress we will not be able to strive in order to attain or finish something. We get stress for some facto rs, external or internal factors. External factors are the environment, the people we get in touched with, the activities we are facing all(prenominal) day, the conditions we are into. Internal factors may be classified into the mind put that we have and the reactions we initiate upon subjected into a stressful situations.Sometimes its not always that other people or things are the very discernment why we are stressed at times we create our feature stress. Stress is everywhere, from the very day that we are born to the very last breath that we take in life. Therefore, we cannot really predict when this stressor will come to visit us. It is proper that we prepare ourselves anytime because during stressful situations our body reacts with it affecting the physical, emotional, cognitive and behavioral aspects of an individual that brings about change to the normal functioning.All of these aspects are interconnected with each other. We cannot really eradicate totally stress but at le ast we do steps which will lessen our picture to it and to avoid oneself be controlled by this stress. With these, in order to cope up with this and to get back on track is to gaincontrol over ones life. We do things which will lessen the baggage that we are bringing through the following activities diversional activities, finding company to be with, sleep, eat, watching movies, self-isolation and others. But for me the very useful way to manage stress is to range it, reflect for positive mind-setting, plan acts that will compensate with it, do this acts for the improvement of one self and everything else will follow later on that will finally lead to stress managing and stress relief.I also versed that there are also techniques on how to manage stress by doing massage, nine-joint exercises, relaxation techniques like deep breathing and others. Human as we are, we are created differently from one another(prenominal). A stress for one may not be a stress for the other. An interv ention or coping machine against stress by certain may consider by another as an additional stressors. Therefore, we must try to manage ourselves and recognize clearly our individual limits.The Stress Management Workshop, I may say, was a success. We learned a lot and at the same time we enjoyed the routines and sessions they conducted to us. Knowledge was acquired and rest assured this knowledge will be shared to others, be utilise in my daily living especially when Im under a stressful situation.

Career Goals

Career Goals Passing the GEED can be a challenge for you to build in your career. Even if you arent suitable in pursuing long bound post-secondary education, your spick-and-span credential can encourage you gets access to professional teaching programs at community colleges and vocational schools. Your GEED transcript can also help you get through the doors with a surplus of new speculates or leave within your current company. The Job market reports that 96% of employer preference, somewhatone with a high school equivalency retention for eligibility for both hiring and promotion.The Job market give become fertile with opportunity for you. If youre not currently employed, put your new credential on your resume and consider contacting the career services nucleus at the institution at which you took the GEED exam do not lonely(prenominal) you self. Many adult education centers and other testing locations have some principal that they go by and can help you prepare for your Jo b search. If youre dependent with your current many, ask your boss to meet with you, as crotchety as it may seem.Tell him or her about your recent achievement and bring out if it opens up any new opportunities for you within the company. You may not be offered a promotion right away, but earning your GEED credential may transform you to apply for one at the appropriate time. My computer razz

Impact of micro finance on women Essay

Microfinance is not a new concept in these sidereal days it is recognized as a most powerful and useful tool to reduce the p e verywherety. dominance of women is one of actually important exsert in developing countries. It is not only seen as a culture objective in itself however as a means of promoting growth, minify poverty and promoting correct governance (World Bank, 2001).Microfinance plays role in improving women closing making by contributing in sparing activities. In this hit the books we depart evaluate the impact of microfinance on indicators of womens endowment in the urban slums of the Lahore district of Pakistan. In this study genders equity, self-confidence, and emplacement leave alone specifically design and implement to explore the link in the midst of microfinance and womens empowerment. This study will justify that microfinance rear end correct the mental attitude of women through i. Access to independent incomeii. Control over savings and refer ence useiii. Ability to bring productive asset to household deliveranceiv. To maintain gender equityIn this study an attempt will made to explore the socio economic determinants of women empowerment in which microfinance will substitution economic determinant. This study will collect the data through aspect that is a quantitative research strategy that involves the structured collection of data from a pre-determined sample. Questionnaires could be filling through Self-administrated, Online or Postal. We will curb Correlation statistics to determine the mutual relationship between gender equality, self-confidence, spatial relation and womens empowerment.Then we will apply Regression analysis to sum the relationship gender equality, self-confidence, status and womens empowerment. This study will adjoin to the women in the Lahore city. The fewer resources and sources are the big problem. Limited time limit is also the limitation of this study. Estimatedtime for completing this research is approximately 5 to 6 months and the expenditures are approximately Rs. 10,000/- (PKR). Key Words Microfinance, Women empowerment, Genders equity, Self-confidence IntroductionThe first project of microfinance in Pakistan was initiated in mid-sixties when Dr. Akhtar Hameed khan implemented the idea of microcredit and launched the Comilla Project as an experiment of microcredit. aft(prenominal) that, various initiatives were taken in the field of microfinance in the fol down in the mouthing decades including orangish Pilot Project in Karachi, Agha Khan hoidenish Support class (AKRSP) etc. Working women contribute to national income of the country and maintain a sustainable livelihood of the families and communities, through verboten the world.As they face many socio- pagan attitude, legal barriers, lack of education and personal difficulties. Traditionally, women deal been marginalized. They are seldom financially independent and often they are more benefactorless m embers of society. some 70% of worlds curt are women. Yet they have no access to credit and other financial services.Therefore, microfinance often site women. Microfinance is a critical tool to empower women from poor household. So, particularly women can get benefit from microfinance institutions as many microfinance institutions target only women, to empower them. In the context of Pakistan, where social and economic empowerment of women is still very low, it is important to identify interventions through which this empowerment shortage could be reversed. In the Global Gender Gap Report, published by the World sparing Forum in 2007, Pakistan is ranked at 126 amongst a total of 128 countries.Women EmpowermentEmpowerment of women means to let women survive and let them live a life with dignity, humanity, respect, self esteem and self reliance. Empowerment is also tie in to the process of internal change (Mayoux 1998) and to the capacity and correctly to make decisions (Kabeer 2001). It consists of change, weft and power. Kabeer (1999) stresses that womens empowerment is the process to acquire the magnate from which those who have been denied the ability to make the strategic life survivals.Her emphasis that ability to execute choice incorporates three interrelated dimensions Resources, Agency and Achievements. According to UNIFEM, to generate choices, gainingthe ability and exercise negociate power, developing a sense of self worth, to see to it desired changes, belief in ones ability and the right to control ones life are important elements of women empowerment. Women will be empowered when they will have full control over their own life.MicrofinanceMicrofinance is a powerful tool to self empower the poor people especially women at world take and especially in developing countries. Microfinance activities can give them a means to climb out of poverty. From early 1970s women movement in number of countries increasing to improve poverty through mic rofinance programs.The problem of women less access to credit was presumptuousness a particular concentration at First International Women assemblage in Mexico in 1975. The evolution of microfinance is from Bangladesh since late 1970s and a very successful project. But in Pakistan, the movement of microfinance sector started from Agha Khan Rural Support Program (AKRSP) and Orangi Piolt Project (OPP). With the passage of time microfinance becomes NGO occupation and five microfinance banks have been started under State Bank of Pakistan (SBP) ordinance.Role of Microfinance in Women EmpowermentThe logic of microfinances potential for empowerment is similar to the economic model of empowerment microfinance makes women economically independent by putting capital and financial resources in their hands. Economic independence results in higher bargaining power for women in their households and communities, and subsequently results in higher prestige and self-esteem.The direction on women s empowerment in the context of microfinance brings to light the meaning of gender relations in policy development circles more prominently than ever before. Women are vaunted as a weapon against poverty (DFID 2006, 1). Microfinance is a type of banking service which provides access to financial and non financial services to low income or unemployed people. Microfinance services lead to women empowerment by positively influencing womens decision making power at household level and their overall socioeconomic status.By the end of 2000, microfinance services had reached over 79 million of the poorest of the world. As such microfinance has the potential to make a earthshaking plowshare to genderequality and promote sustainable livelihood and better working condition for women. (ILO Geneva) It has been well documented that an increase in women resources or better approach for credit facilities results in increased well cosmos of the family especially children. (Maoux, 1997 Kabeer, 2 001).Chaudary and Nosheen (2009) women empowerment is one of important issue of present day development policies in developing countries. Since empowerment is multidimensional concept, it is determined by many socio economic factors and cultural norms. Cheston and Kuhn (2002) stated that microfinance programs have been potential to alter poor relation and to empower women especially by using baptistry study of Sinapi Aba Trust. Although women access to financial resources has substantially increased yet loans effrontery to women differ in sizes.In spite of this, just financial help not enough to empower women and improve well being but if they are properly designed then they make important contribution to women empowerment.

Essay on Sports Sponsorship

The main terra firma for companies to invest into professional sports is because many minds of sports suck up a certain desirable regard or the athlete / imposter is an idol for the bulk. The identification with the athletes / players is strong, they argon role models for the spectators and younger generations. The Investors hope that when people see the athlete they also think of the product features and vice versa. subsequently If the target group goes into a shop, they see the product and remember the connection. possibly they even buy the product.It is very important that the image of the product and the image of the athlete correspond to each other. Therefore, it is impossible in Germany that a football game player would promote red lipstick. If a company gather ups a new or better image for itself or for a product, they practically sponsor a sports club or an athlete. The German company sulphur sponsors Real Madrid because Real Madrass team Is supposed to be neo and excellent at what they do, an Image that Siemens wishes to imply for their own company.A nonher reason for sports sponsorship can be the introduction of a new and still mysterious product or that the company itself is still new and unknown. Therefore, the company tries to improver attention by advertising with sport events or athletes. In the mouthpiece Commodore was a pompons for the 1 . FCC Brayer Munched, because nobody knew Commodore and they gained public attention with their commitment.. But nigh sponsors work with little clubs to be closer to their customers. For example insurance companies are interested in the direct contact with the people.They want to sell their products. It is not important for small and regional companies to sponsor a big club. They need a little club in their area / district for success. every company needs their own sponsor concept for success and suffice clients. What can be done for a sponsor at a Volleyball event.. Where and how can a sponsor show his logo or product? You view some areas for the sponsors banner, flags, flying banner etc. o I v areas (ten Title, Press room, sponsor wall) o spectator areas (Like entry, the manse . O Press areas (like the press room, the press conference. ) o seven area (for the sponsors, important people .. ) It is possible to give give sways, paper and programs for the spectators or VISP with the sponsor logo or information. Sometimes the sponsor have an area for information or a booth.

Edmund Burke: French Revolution

Edmund bump off demonstrates in his Conciliation speech that he is a intimately versed orator. He appears to be quite the moralist, as well as maintaining an air of hauteur at times. My initial thought is that he is s staunch supporter of the Colonists. As I continued to whoremongervas his speech, I began to think he may just be attempting to rede some(prenominal) effort of war by the Colonists, seeking greater tax tax income for England. off seems to be playing to the honorable egos of the House of Commons as he states, ennoble the flights of the highest genius, and obtain pardon for the efforts of the meanest understanding. This is surely an attempt to work favor by putting at the forefront of thought to the workforce who passed the various Acts, they are able to recant term maintaining some distinguish of personal honor and dignity. By using himself and his thoughts as an example of the hindrance of the fancy, he brings forth the question of how intelligent men of the time can reject reason. Interesting though is Burkes proposition of peace. As I understand it, he is simply proposing peace in the truest sense. No conditions, no complications, based simply on each mans own understanding of peace.Burkes proposal of offering peace, removing any types or forms of conflict, the Colonies entrust once again gain trust in the Crown. He claims that trust through peace, removing any hindrance, loyalty to the British authorities can be recovered. Interesting enough, Burke states, Let the Colonists always save the idea of obliging rights associated with your government The use of the word idea and its heart and soul must(prenominal)(prenominal) be correct, as Burke is very intelligent and diligent with his words. This is an attempt to gain approval by speaking to the egos of the members of Parliament.If the Colonists believe their civil rights are being honored, regardless if it is true or not, allegiance to the spinning top will remain solid. Liberty and freedom are the rights the Colonists want. If the Colonists believe England is providing liberty, the colonies will be freely bound to England forever. Burke implores that for the Colonists to have the freedom, Parliament must give up its interest. With this revenue will freely return to England. This must have been quite an ironic thought for the members of the House of Commons, surr intercepter to win.certainly Burke was right. Prior to the Act of Navigation, the colonies considered themselves British subjects and freely traded with the Mother Country. With the capital punishment of The Act, England reverted from a parent-child, superior-subordinate relationship to that of master and slave. The Colonists immigrated to America for a new show freedom, not to be bound by England. As English subjects, Colonists just now wanted to be treated as equals to the country men in the Motherland, participating in freedom.Burke shows great insight when he states that papers, noti ces, clauses do not tie the government. It is a feeling of communal participation that provides invigoration and vitality to men. When Burke states, It is the spirit of the English Constitution which, infused through the the right way mass, pervades, feeds, unites, invigorates, vivifies every part of the Empire, even down to the minutest member, he demonstrates a grassroots understanding of human need. The need to feel dignity, to feel alive, to feel esteem, and some of all to feel free.As Burke ends his expiation speech it seems as if he changes cross and begins to speak to the arrogance of the Parliament members. Surely none of the members of the House would akin to think of themselves as arrogant and pompous. Decisions based upon arrogance and ego would cause failure. They represent the people, humbly of course. He informs that his idea of conciliation would only seem chimerical to those far from being qualified, to be in charge of an empire such as England. None of the L ords of the House would like to think of themselves as non-qualified for the positions.A higher calling is needed. Not the idea within the minds of men, the elevated minds of men as called on by providence. Burke is bringing religion into the thought process, as men of the church would make a morally right decision. It is difficult to fully understand the temperament and temperament of Edmund Burke reading his speech on Conciliation of America. Burke presents himself in a myriad of different personas. He is humble, yet arrogant. He seems to be looking out for the best interests of the Colonists from a moral standpoint.Although, while reading, it appears that he also is looking out for the best interests of England. Especially towards the end of his speech when he states, Let us get an American revenue as we have got an American empire. This tends to make the reader think that he may have been looking out for the interests only of England, his ideas the most feasible way to reach the end result. Regardless of the motive, if the ideas of Edmund Burke were implemented the course of history would certainly have been different.

1984 by George Orwell: Challenging Relationships and Power Play

1984 by George Orwell explores the challenging relationships between different sets of powerplay. It in the long run maneuvers subordinates into positions where it is able to hold power against them, shaping the wants and desires of the powerless. The public awareness of this intention of power is nil, as every angiotensin converting enzyme struggles to be the perfect party member, yet as unmarrieds, the desire to hold what is beyond their grasp calls them, and members of the public strive to ascend the pieces of their independence.Orwell places a normal portion into a world where every locoweeddidate of life is dominated by a power so indestructible, want created is scarce. The protagonist, Winston, is concerned with individual freedom and expression, and these two issues control his journey through with(predicate) the book. Winston struggles to discover his individuality, with the knowledge that the moment he began to separate from the public thought, he was a dead man. Wi nston holds onto hope, writing in his journal towards the beginning of the text, If at that place is hope, it lies in the proles. The unsatisfying reality hits Winston the moment he realises the proles (short for proletarians, the lowest course of instruction in this society) are of no hope at all. The statement, that the proles can be granted intellectual liberty because they have no intellect , brings the justice to light. If we view the entire lower class in 1984 as one individual, it portrays the helplessness of the proles against the Party, against Big Brother, the larger powers of society.The manner in which Winston describes the lower classes, it is not difficult to view them as one whole, one more character in the text. Another failed idea of hope is that of the younger generation. Often utilise in other texts as a positive change in regime, 1984 turns the children into the armours of betrayal, abandoning even their own families to the Thought Police, as Parsons childr en do to their father while he sleeps. By creating a situation which mocks rational hopes, 1984 alludes to the issue of vulnerability of the individual once again.This irony is similar to that in the poem Ozy Mandias by Percy Bysshe Shellie, who creates an irony through change in history. The use declares I am Ozy Mandias, king of kings/ look upon my works, ye Mighty, and despair These two lines place the next, which simply states Nothing else remains . Just when a power thinks it can survive even God, shown through the capatilisation of the M in Mighty, period destroys his works, leaving Two vast and trunkless legs of stone standing in the ravage . Although the irony is cutely different in technique, the emphasis remains in the power driven manners they are obtained. Through the systematic indoctrination of the children in 1984 to preserve Big Brother for the future, leaving no hope of change, so likewise does Shellie through writing this poem preserve the legacy of Oz yMandias. And so sure is Ozy Mandias that his image will survive that of Gods, so too is modern societys hope in their children. This irony leads the individual on, leaving the reality of the situation too late to escape it.

The Impact of Family Relationships in “the Story of an Hour” & “the Yellow Wallpaper”

Family relationships, especially involving spouses can give difficulties and challenges for one or the other, in-turn could create an impact in their relationship. Kate Chopins The fib of an arcminute and Charlotte Perkins Gilmans The discolor wallpaper ar myopic stories centralized on the view of two married women, the challenges they endure in their relationships and coping with their spouse. Women wanting to have freedom, having to hatful with an illness and their position in the household can create such challenges for spouses.Freedom to women means to be tough as an equal to their spouse, to forefend organism controlled with e precise sight of their lives. In Kate Chopins The Story of and Hour and Charlotte Perkins Gilmans The discolour Wallpaper, both have a setting in the same era of men being dominant over their spouse. In The Story of an Hour, the protagonist Mrs. mallard kept whispering to herself upon audition the passing of her conserve she said it over and over under her intimation Free, free, free (Chopin 2) and Free Body and soul free (Chopin 3). In my allude of view those feelings that Mrs.Mallard felt at that moment was finally being let go from her husbands grasp and the shackles of marriage which was an incarceration to her. In The Yellow Wallpaper, the vote counter of the story was remained nameless is confine in a room with eccentric wallpaper, which I think seems to make up the complexity and confusion in her life. The fibbers freedom in this case would be writing, which did non sit well with her husband found on this extract There comes John, and I must put this extraneous he hates to have me write a word (Gilman 57).For those moments the narrator writes in her journal she feels to have freedom and to express herself from reality, notwithstanding in secret. The air the narrator describes her room as it is a big, airy room, the whole spirit level nearly, with windows that look all ways, and air and sunshin e galoreI should judge, for the windows, are barred for little children and there are rings and things in the walls (Gilman 56). This line drawing of the room could be described as confinement for the narrator, and a disposition feeling trapped. In both short-change stories, the main characters, Mrs.Mallard and the narrator have or ended up developing some build of illness while in their marriages which can create difficulties in their relationship. In Story of an Hour it was stated Mrs. Mallard was affiliated with heart trouble, vast care was taken to break to her as gently as practicable the news of her husbands death (Chopin 1). According to the facts provided in the short story there was no hint or confirmation that she had this characterise since her childhood, so objectively speaking, assumptions could be made such as Mrs. Mallard developing the illness over the course of her marriage.In Yellow Wallpaper, the narrator is mentally ill and with the advice of her husband, a physician advises her that nothing is wrong, concord to the this quote you see, he does not believe I am franticif a physician of high standing and ones make husband assures friends and relatives that there is nothing the matter with one but transitory nervous depression a slight hysterical tendency (Gilman 55). For that fact, the husband advises her to be confined in a room, and stating her disapproval, she would hypothesise her husband would not hear of it (Gilman 56).As time went by in her room, she looks to have actual fascination with the wallpaper in the room, which she also disliked, using her imagination. Every aspect of the wallpaper was analyzed with thoughts such as This paper looks to me as if it knew what a vicious influence it had (Gilman 59) and The faint figure behind seemed to shake the pattern, honorable as if she wanted to get out (Gilman 63). These facts could be assumed that she was scratch to get mentally unstable being imprisoned, with her spouse no t volition to help her a mental illness was present.The 18th century is cognise for husbands being the dominant gender whereas their spouse is looked upon as fragile while their thoughts and suggestions being ignored. The husbands duty would be that they are the income earners whereas the wife would preform her duties as what a typical wife would do during that era run the household. Women would want to speak up but are afraid that it would show disrespect and as time goes on would eventually lead to resentment. In Story of an Hour Mrs.Mallard was hearing the news of her husbands passing, upon receiving it, she would have such joy inside(a) her which led to her death when the doctors came they said she had died of heart malady of joy that kills (Chopin 4). The story doesnt elaborate the details of her marriage, only in the present, assumptions could be made how Mrs. Millards marriage was as a charwoman in the 18th century, and especially with the reaction she had upon hearing the news. In The Yellow Wallpaper, the narrators husband was the main income earner with a high standing position (Gilman 55), while the wife was home.A quote said by the husband was what is it little girl? He asked. come int go walking about like that youll get moth-eaten (Gilman 63). The fact provided in my view is that the husband doesnt see the narrator as his wife, but as a child. As time would go it would seem like the narrator would have resentment towards the husband, even though he is doing no harm such as he is very careful and loving, and hardly lets me stir without special direction (Gilman 56).In the end, she would say Ive got out at last, said I, in spite of you and Jane. And Ive pulled glowering most of the paper, so you cant put me gage (Gilman 70). The fact would assume that she was able to free herself from him and would rip the paper off in spite of her husband, which would show hate. In conclusion, in the two short stories, Story of an Hour and The Yellow Wallpaper, have two women in the same era enduring difficulties and challenges with spouses.Women wanting to have freedom, being treated as equals, developing or encountering an illness and the position in the household would lead to challenges and in can have an impact on their relationship. Chopin, K. The Story of an Hour. The atomic number 80 Reader A Custom Publication. Comp. M. Rubens. Toronto Pearson Custom Publications, 2006. 1-4. Gilman, C. The Yellow Wallpaper. The Mercury Reader A Custom Publication. Comp. M. Rubens. Toronto Pearson Custom Publications, 2006. 54-70.

Financial assets are made up of securities

Financial assets are made up of securities, demarcations and derivatives. These are claims to the cash geological period generated by real, tangible assets which are the lands, buildings and machineries we use. These pieces of paper are how citizens of highly actual countries increase their wealth. Wealth gene balancen involves jeopardize, for no business activity is reliable to provide give ups. Financial markets allow investors to participate in money-making ventures without being physically present in the project site.Most risk tolerant individuals prefer rail lines, for it has the strength to yield very high returns, while conservative ones go for bonds which provides a steady, fixed income. In this activity, stock trading is the main focus. Objectives Just corresponding any investor, generating cash flow was the primary goal. The amount of cash to be gained from trading should compensate the risk undertaken. The goal was to achieve steady growth. The evaluate was retu rn is 40%. After setting the required return, a portfolio schema was chosen.Assets were then selected which would comprise the efficient portfolio provides the highest return for a given take of risk. primitive analysis was the method used to pick the stocks. variegation was another(prenominal) tactic used to maximize return while spreading the risk. get a portfolio Portfolio construction was a tedious task. I had to weigh the risk and returns, and sometimes, to trust my gut feel. Stock prices, as studies have shown follow a random walk movement. The approach used was a top-down portfolio construction. A portfolio is basically a collection of investment funds assets.The type of assets to be held was prototypal determined. It was then followed by security analysis to pick out the stocks deemed profitable. Diversification was one principle used in choosing the stocks. It simply meant that equities from different industries were held in the portfolio so that risk exposure was limi ted. Shares from the software industry (RIMM, JAVA), arms(SWHC), pharmaceutical (GERN), reckoner (PALM), insurance (HUM), wellness care(HMA), power (FL), SAM, metals and mining(AUY, AA) ,oil and gas(IEO), index fund(SWPIX), cement(CX),AXP Asset Analysis Fundamental analysis was mainly used in the decisions undertaken.This approach uses wampum and dividend prospects of the firm, expectations of future tense interest rates, and risk evaluation of the firm to determine proper stock prices. It relies on the companys financial health indicators. The stocks annual growth rate, quarterly earnings records, and P/E (price-to-earnings) ratios were measured. Historical data was also used. One such(prenominal) statistic is the EPS, or earnings-per-share ranking. PALM stocks were bought since the firms return on investment was stated at 2470. 70%. Also, on the day that it was traded, it was lower priced. metalworker and Weson, SWHC had a P/E ratio of 5. 50%, an ROE of 19.7%. Thus, a total of 4000 shares of SWCH were bought. Alcoa, or AAs ROE was 16. 20%. Its EBITDA was 5. 45 B. Meanwhile, its P/E ratio was 11. 60 and its annual dividend was at . 68 per share. Alcoa looks financially healthy, but was expensive, so only railway yard shares were purchased. Similarly, FPLs ROE was 14. 6%. Its P/E ratio was 12. 7%. Its EBITDA was 4. 47 B. The market set FPL shares highly. only, I found it unsmart to invest in highly valued stocks, because market perceptions fluctuate wildly. Thus, I only acquired 700 shares of FPL. RIMM had an ROE of 30. 60%. Its P/E ratio was 50%. For me, RIMM shares were really costly.In fact, it was has the highest cost per share in my portfolio. But I was attracted to its financial forecast. Further more, its 52 week high was at $148 so I found the $80 per share enticing. I thus bought 1000 shares from RIMM. HUM had an ROE of 19. 9% and a P/E ratio of 18. 00. It was quite overpriced, so I only bought 1000 shares. HMA was the lowest priced stock in my portfolio. But, I decided to purchase it believing that demand for health care services will increase in the turn up future. CX, compared with its competitor, Heidelberg cement had higher earnings and historically displayed returns higher than the market average.I bought 1000 shares. I also bought SWPIX, an index fund as a comparison for the return of my trading activities. Event Selection One of the most remarkable intelligence information was the launching of PALMs Pre. With the belief that the Pre will be tropic in the market, just like Apples I-pod, I bought 4,000 shares from PALM. I deem that the future value of PALM will increase more than two-fold once the Pre is introduced. The hype will push the price of its stock. Thereafter, I fuck sold my shares at a profit. In addition, the popularity of smart phones, or phones which dish more than just talking devices was forecasted to increase steadily in the near future.Aside from purchasing PALM stocks, I decided to buy shares from BlackBerrys maker, RIMM. News of the global swine flu outbreak prompted me to purchase HMA shares. HMA , a healthcare provider would have more profits if the flu would become widespread. In addition, Citigroup upgraded HMA shares from hold to buy. Meanwhile, the news on the pending sale of JAVA swarm me to sell my 1000 shares. Monster stocks which were identified two weeks in a row included AUY. The information urged me to buy 3000 shares of AUY.

Convenience Store and Causeway Bay Essay

My best-loved shopping centre is Times Squ ar. Its in Causeway Bay. I unremarkably go there with my family on the weekends. I worry to go with my family because I like to spend time with them, so we can roll in the hay each other even better, make our love and care deeper too. Weekends are the best time to go because we dont lose to go to school and neither does our father need to go to work.It has a spate of facilities like a cinema, 4 floors of restaurants and photo sticker machines to recommend that bonny moment It also has shops with the newest and trendy brands like clothes, jeans, mobile phones and even toys. The also have slightly jewellery and bag shops which I like to buy. They have some convenience stores, like 7-eleven and circle k. Where we can find snacks afterwards shopping because you do get tired holding those bags. I usually take the 8P bus because its convenient and cheap.They also hold some concerts or parties for special occasions like Halloween, Christ mas or Easter. I commend it opens around 8 or 9 in the morning and closes at about 12 or 1 at night. I like it because its fun to shop although it could be expensive Or solely come to watch the movies and have dinner with your family or friends. I remember I was around 3 years old when I first base went there, because at that time I lived in Causeway Bay, just contiguous to the Times Square

E Fraud Essay

An e- deceit is considered to be an electronic crime that affects non only individuals c bees and g either(prenominal) move intonments but withal al pocket-sizeds for rattling negatively intelligent people and hackers to intake their intelligence to log into others accounts use their credit pecker numbers and trusting password and fulfil big amounts of mint and money . it has been seen that e pasquinade is on the join on and this is because of the low levels of aw beness, the inappropriate counter measures that be in effectual to handle this kind of skulker has take to e devices being on the incr rest .The only playing argona that has been actively involved in reducing the impact of fraud is the technical side leaving the other so m both(prenominal) variables come push by meat of of the closet of the celestial horizon of the e fraud scenario. This has make e fraud even over oftentimes easier because there contrive been no mechanisms to annul these occ urrences and even if there be there has been limited penalties issued to the frauds that happen on the cyber piazza. Introduction The complexity of ripe enterprises, their reliance on technology, and the heightened Interconnectivity among makeups that is both a result and a number one wood of e- air these are rapidly evolving developments that create widespread opportunities for theft, fraud, and other forms of exploitation by offenders both outside and inside an organization (KPMG 2000) The paper tries to assimilate and test the strategies that elicit be adopted by e veryone who deals on the cyber stead to treasure their knowledge and finances securely.This paper also tries to analyze why much(prenominal) frauds occurs and what preempt be done by stakeholders to minimize the occurrences and is it worthwhile an feat to bring in a global governance ordinance which could uphold traffices and agencies nab the criminals . It is recorded that global e profession sales are steadily growing and with this the e duty fraud too. The eco dust which has promoted the sentiment of ecommerce streams from the millions of shoppers and customers who use their debit and credit loosens .Though online shopping is intercommunicate to be a very safe way of shopping and bank transactions through secured stipend modes, frauds nurse been continually on the increase . It has been objectively researched that e commerce transactions wear to be heightsly secured . Every transaction has to be screened for the following inputs . 1. Risk based assay-mark should be enabled for every transaction and to prove the ace of the user. 2. Card holderss data has to be tokenized so that consumers identity great deal be certain and protected. . Reputed brands should shut down phishing and Trojan barrages that make easy e commerce frauds. Some practical applications for reducing e commerce brands tommyrot detecting and taproom by addressing the critical collects of the entire credit card eco ashes. Evaluating transactions for the risk and balancing risk activities in cards . blue transaction abandonment rates that results from poor user experience . minify the compliance costs so that we ecommerce frauds commitment costs become lavishly .The following diagrammatic representation shows how the individualized data eco governance is subject to hacking by very professional hackers. ( radicalGoogle. com) Credit card fraud The credit card attention reports huge frauds conducted over the internet in the US alone, in the year 2010, $8. 6 zillion card frauds occurred (Aite Group study). With worldwide electronic selective reading sourcing and data storage and the thousands on online purchasing that is going on, the frequence of card usage has increased and this has resulted in financial institutions and cardholders becoming victims of e fraud .Countries worldwide experience set up agencies to monitor e fraud and countenance their own agencies t o take mission of much(prenominal) crimes particularly those tie in to the cyber space and those which happen on cyberspace and in ecommerce space . E commerce sales is expected to total almost $1 trillion by 2013. Ecommerce fraud is also growing along with this. dishonest transactions rose from 2. 7 billion in 2010 to $3. 4 billion in 2011 and are expected to grow exponentially. The use of internet has made these frauds possible. on that point are m any reasons why these frauds occur. . The increasing complex software package that is at a time being employ to relay ecommerce has made the agreements vulnerable to attacks . 2. There are thousands of malicious codes and other tools that avail hackers and attackers . 3. The increasing use of gamy speed internet at homes with very little security makes attack much easy . 4. The rate at which technology is changing and the ease of adaptation to the new technology and the users rather slow pace in adopting to good calculator security practices is a nonher compelling reason for fraud . . the hidden costs that are involved in an ecommerce portal goes unperceived because the security systems that nurse to take care of this and when systems are set up, there is always the likelihood that ambitious technology experts deed over least taste sensation to securing the learning site and privacy conditions People and clientele which conduct rail line online do not inform people of the expected frauds that could occur imputable to ecommerce transactions, because of this frauds happen .The lack of proper governance and regulation regarding attribute of penalties and punishments that would be disposed(p) to fraud committers is rather slack . There are no world wide global police forces to tackle much(prenominal) frauds and hence frauds that are committed online find no jurisdictional limits and so governing bodys do not know how to pin point the responsibility . This loop hole has been used by fraudsters . The online world is full of pseudonyms and pseudo identities . Hence tracking such frauds also becomes very difficult. There are no experts who could be given the responsibility of tracking and strategizing how such frauds occur .Though technology now is slowly trying to understand the macro environment of the fraud related scenarios, the risk and costs associated with bringing in security is very high and hence the adaptability of such scenarios cannot be done by all firms who have e commerce portals . Stakeholders involvement in the vulnerability that exists across the protect chain is seen as the most critical issue in a fraud . Crime congress global This is an imitative taken by the agency to help stakeholders and victims of e commerce fraud to find effective solutions.This proves information security in all countries of the world to meet the challenges arising from e commerce. This agency prominently uses technology and provides technology solutions in partnership with the business community to prevent frauds through information security technology and information risk management, forensics, probes, audit, risk, compliance and fraud. This agency has been conducting global sensation programs for reaching out to institutes, businesses and government to partner in helping reduce ccurrences of e fraud to strategic and technological challenges. This is a strategic initiative involving al stakeholders to proactively reduce the risks of ecommerce frauds and to defend IT systems from those threats which are emerging and to comply with relevant good and restrictive laws . this initiative is a pervert towards combating the threat of the increasing cases of fraud. This partnership brings out very important initiatives to protect not only customers but also business houses from succumbing to the increasing menace of hackers.Technology solutions and other security solutions are placed in a consultative approach towards tackling this . If an international busi ness committed right of first publication infringements then legal action under roughshod Jurisprudence legal action can be resorted to under phrase 61 Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPs) where the loser has got legal repair to his stolen property by means of criminal sanctions and which will thereby allow for legal and criminal punishment of the infringement and the infringer . t has been felt that all types of infringement should be punished with criminal sanctions. People can appeal under this act for legal action or they can hotlist an organization under cyber space if there are cases of patent stealth and web site hacking. The Copyright, Designs and Patents Act 1988 also cognise as the CDPA can be used in cases where infringement has taken place. If an international business committed copyright infringements or steals a patent then as a victims we can take recourse under the above mentioned acts which give protective cover to IRP whi ch are stolen and pirated and copied..Early referral is verbalize to be the best outdoor(a) to ensure that the evidence is properly secured and that all the investigative revenues are amply explored with the possible undercover law enforcement activities. Perhaps, communication with the law enforcement activities allows the victim to machinate civil proceedings with the possible criminal enforcement. Though legally recourse is available it is easy to settle out of court because protection of copyright is a prelude to reapingion of the material or product.People who even off hold to protect their patents. Once the patent is protected then it cannot be copied or pirated as punishments are very severe in such cases. With so many innovations taking place in the US especially with cyber technology there has been very estimable issue of pirating software and the capital of Red China convention has called for all member countries to come out with anti pirating laws which could ef ficaciously punish those who are caught. USA will have to worry near the number of infringements that are taking place.It has admitted legal course in serious cases but USA is neither able to gun down the culprit nor is it able to find means of putting an end to it because of the geographical standoffishness which makes it impossible to monitor the use of technology. USA is very careful in dealing with countries where incidences of Infringement are very high and tries to bring in severe legal clauses to protect their interests. Computer forensics investigator and other laws A computer forensics investigator works with a pre determined stamp of computer crimes.But that is not a sufficient coverage that should be catered. A computer forensics investigator looks upon other law system too such as data protection, data integrity, data control, audit of data components, probe around the computer and etc. A forensics investigator moves with an initial precession of computer crime. Bu t he should be sanitary governed with other laws. This helps him to prepare himself more concretely on the crime scene. He is prepared with the notion of covering up the areas totally in order to fully pay himself on the grounds that nothing is left-hand(a) behind.He checks into the data system, recovers the data, checks the integrity of the data, protects the data, looks for evidences around the computer, checks the network system of the accused person, goes more deeply with the figure system to enable him searching beyond the computers to narrow down his investigation procedure. Some other laws such as, human rights, digital rights, information system laws, computer laws are of special interest to him. This gives him the power to deal with any case that involves ethical computer crime.He is much more develop investigator if he is well adverse with the above law system. E Discovery E Discovery or electronic Discovery refers to husking in civil litigation. This find butt a gainst deals with the exchange of information in the electronic format. Electronic Discovery is pretty multipurpose for the forensics depth psychology. We know that Forensics analysis deals with the investigation of crime scene involving computer and cyber crimes and evidence is the prime reference work of investigation that reach outs to a successful procedure.Hence the investigator is pretty much confident virtually the E Discovery System. The investigator with the help of E Discovery processes such as Electronic messages, voicemail smart phones etc recover every bit of information that is necessitate in the gathering of evidence take for the forensics investigation. The whole process of collection data through E breakthrough and jotting it down to the report makes it much easier for the investigator. The E discovery has led to new developments and changes in the investigation system of the cyber crimes.With latest e discovery modes as mentioned above, an investigator is mu ch more confident about its reason into the IT system of the accused criminal, and supporting the cause with rather strong and current evidences gathered. E discovery is a radical change in the process of investigation and has led to much more focused and integrated system of computer investigation. Conclusion The whole conclusion is based on the cyber crimes and the enacting system of law prevailing. The cyber crimes have increased in geometric progression over the age which have led to many disasters and crimes.With the increased number of crimes taking place day in day out, the laws have been made much stricter in order to ensure that the numbers of crime taking place gets minimized and there is a fear of messing up the computer system. The laws have addressed the message of intent of distorting computer systems which will constitute a crime. Many forensics investigators have been seen in the picture off late which governs the system of computer crime. These investigators are well adverse with the system laws and crime scenes. They in effect handle the situation and get to the desired results enabling quick and complete reply to crime involved.Thus the laws have been successful over the years in minimizing computer threats and crimes. Ecommerce has revolutionized trade in many ways and consumers have also been cheated in ways that were unknown in traditional sales. In order to protect the consumers, traders on the internet and operators in the cyber space have got together to form associations and laws that would protect the consumers in the text of ecommerce. Though every country has passed consumer protection acts which are rules and regulations to protect the consumers from fraudulent trade practices in the market.There laws were enacted to protect the consumers and give them rights to ensure that they obtain truthful information and right products as so knowing by the seller. The laws have been designed to protect consumers from businesses indulgin g in unlawful and unsportsmanlike practices . The governments of all countries have passed regulations to protect the rights of consumers especially in those products where health and safety are of import ingredients. Consumer protection is also in the form of consumer rights which consumers can exercise through redressal grievance and consumer courts.This is the history behind the concept of consumer protection. In lineal logical argument to the traditional business where the buyer and seller are in direct contact with each other and the buyer can inspect the goods before buying, in ecommerce the communication is only through an electronic form and business is conducted in a paperless environment. More importantly the internet or e transactions play a very important role in helping buyers and in assisting in choice comparisons and locating a product on the internet. (http//www. apec. rg/apec/apec_ convocations/som_special_task_groups/electroniccommerce. html. Accessed on 13/2/0 4) Consumer concerns in e commerce starts form the point of instance as the buyer is not known to the seller and vice versa and hence the privacy and confidentiality aspect of a trade which has to be concluded needs authenticity. Consumers are maladjusted about 1. The unfair marketing practices that sellers resort to on the web. 2. The terms of sale, refunds, cancellation of orders, warranty conditions 3. Enforceability of the contract, performance and non performance. . rake time, late deliveries and no delivery verification. 5. The most illegal use of information available on credit cards payment made for online purchases. 6. Fraud and cheating because transactions are not authenticated by any physical source. 7. unsafe products not confirming to safety standards. 8. Misuse of private information for other purposes. Since majority of e commerce transactions lead to the buyer being put to a disadvantage the Issues relating to consumer junkd have to be minimized and arbitrated. t is all the more difficult because the sellers are beyond national jurisdiction as it happens on cyberspace and SO the risks that arise out of such trade has to be taken care of and the consumers have to be suitably protected. a landmark development n the form of the E -Commerce group otherwise known as The Electronic Commerce and Consumer Protection Group is constituted by leading companies on the net like America Online, AT&T, Dell, IBM, Microsoft, Network Solutions and period Warner.These companies predominately deal in online sales of their products and so recognize the growing need of consumer protection and have addressed issues regarding consumer protection as best practices of industry and have created an environment which would allow consumers to resolve remainders arising on cyber space. The American obviate Association assess rip on E-commerce and Alternative Dispute resolvent is one of the best reference guide to consumer protection on the cyber space.This orga nization was asked to suggest workable guidelines that parties dealing in online transactions can use for ODRs (online dispute redressal) . the complexity further arose from the item that there was multijurisdictional disputes arising from B2B and B2c businesses. (THIS IS THE fairness ENFORCEMENT AND IS REFREED TO IN EXACT TEXT) To quote the words of the task force of the Ecommerce group that there are many ways to help prevent as well as to help resolve disputes or complaints that arise from e-commerce transactions, the Task Force makes the following recommendations and observations 1.E-commerce businesses should place an enhanced emphasis on all stages of dispute prevention, complaints handling, and effective methods of redress through ADR and ODR. 2. net income merchants, governmental and non-profit-making entities should place a greater emphasis on consumer education and the prevention of e-commerce disputes. 3. Protecting consumers requires adequate standards and codes of conduct for ecommerce businesses. 4. cyberspace merchants should be encouraged to come in in and subscribe to relevant e-commerce codes of conduct and trust mark programs. 5.Internet merchants should develop or continue to improve on their in-house complaints handling mechanisms, and domesticate consumers as to how to use these in-house procedures effectively. 6. For consumers, recourse to in-house complaints mechanisms is normally the first and best means to obtain redress from reputable merchants. Accordingly, consumers should be encouraged to utilize the in-house complaints handling mechanisms offered by reputable Internet merchants before resorting to third party dispute resolve mechanisms. 7. at present, the lack of ODR does not appear to be a material impediment to the growth of B2C e-commerce. . At present, ODR is subsidiary to other higher(prenominal) priority consumer protection activities, including consumer education and use of measures that help prevent or decrease the incidence of fraud in Internet transactions. 9. Recognizing that enforcement of outcomes and decisions reached through ODR may be difficult, consumers should be encouraged to consider using other dispute prevention mechanisms such as escrow services and credit card awaken back mechanisms when transacting online. 10. Rather than create a code of conduct for ODR advantage Providers, the Task Force has drafted Recommended Best Practices by ODR Service Providers. 1. The Task Force recommends the creation of a new informational entity (referred to as the ADRCenter) that would provide information about ODR in an effort to educate and familiarize consumers, businesses, lawyers and other professionals with this new type of service. 12. For the advancement of ODR as an effective and efficient means of cross-border dispute resolution for both B2B and B2C transactions, there needs to be an appropriate emphasis on the development of interoperable communication and data-sharing platforms. 3. The Task Force believes that much of the education that will be useful for consumers will also be useful for businesses especially small to medium sized enterprises and those who are new to the Internet marketplace and to cross-border transactions. ( Task force quoted verbatim) among all of ecommerce frauds the greatest of consumer complaints arose from identity thefts. The federal trade commission has released statistics stating that out of 2004,000 complaints received from consumers 42% elated to fraud and identity of the seller, followed by internet auctions which constituted 10%,followed by other non performances like non delivery of goods, inferior quality goods, trial offers from the net, shop at home offers and so on. This only reiterates that consumers have to be protected and laws of cyber space have to be strictly regulated to afford consumer protection. Consumer protection measures were seen very importantly in the light of an interactive poll which shows the increa sed awareness of consumers against online frauds .They were dissuaded by online shopping and cited some of the reasons why they had not shopped recently. 57% verbalise that they were worried about their credit card number being stolen,57% were worried about confidentiality measures being violated,38% doubted the integrity on the seleers,26% precious some personal attention to be given while they shopped,37% doubted the reliability of the sellers,47% say that wanted to physically inspect the product and 25% cited many unknown reasons. source Harris interactive)It was increasingly felt that consumer education will be able to help protect consumers better. It also shows increased concerns about consumers not knowing how to transact online. It is suggested that traders using the electronic media need to given all information that is required for consumers to feel safe about shopping online .Quoting Internet merchants association , Merchants need to have greater and enhanced disclosure on their websites as well as heightened compliance with relevant consumer protection law. Another pertinent consumer protection data and study conducted by a New Zealand organization on 700 web sites explicitly brought out the consumers heightened awareness of ecommerce frauds and consumers came out with their reasons of the need for defend their rights against fraudulent organizations.They said that 50% of the vendors had not installed security measures on the payment options, 62% did not speak of refund policies, 78% said that the vendors did not advice customers of how to lodge complaints,90% said that they did not know about laws pertaining to consumer redresses and 25% said that the vendors did not show physical address. Despite all this majority of consumers like to shop online so laws pertaining to consumer protection need to be implemented in its fullest sense.Consumers International released its Privacy net study in which it concluded that though almost all the traders online collected data regarding the personal information of the buyers very few of them institutionalized a privacy policy regarding the use of the information that the buyer gave. Though these were correct measures to provide security, majority of these proved hollow to the buyers. it was very common in the US and Europe to find traders bragging(a) scant respect to global standards on data privacy.Even the fundamental principles of informing the customers of how the data will be used, how the firm will admittance the data , how the consumer can use the data and how the security of the data is want and maintained is not disclosed. A relative study of the sites of USA and UK are no different with regard to privacy policy as both played on the information made available to them. The US online trade sites set decent privacy policies which looked good enough to follow.In The European trading sites the consumers had the law backing them up and the presence of an ombudsman and a go vernment representative in the form of a data protection policeman took care of the consumer rights and protection if breached. He also intervened to speak on behalf of the consumers if the law was tampered with . in fact it is sad to know that both the countries have left little choice to consumers in terms of data protection.. This was a comparative study of the European merchants and the USA merchants.But both of them accepted the fact that consumer protection was a must if their sales and revenues had to increase. As a step towards greater protection measures to consumers the task force on ecommerce and protection said that various disputes redressal mechanisms have to be introduced in the form of dispute prevention like education of consumers, feedback collection from consumers, ombudsman appointments, negotiations, mediation, arbitrators, and assessment of valid consumer grievances.

Psa 200

chitchating and Assurance prototypes Council Philippine Standard on Auditing 330 (Redrafted) THE AUDITORS RESPONSES TO ASSESSED RISKS prostate peculiar(prenominal) antigen 330 (Redrafted) PHILIPPINE STANDARD ON AUDITING 330 (REDRAFTED) THE AUDITORS RESPONSES TO ASSESSED RISKS (Effective for take stocks of pecuniary didacticss for peaks fixed out on or after declination 15, 2009) CONTENTS Paragraph psychiatric hospital Scope of this prostate specific antigen.. Effective Date Objective.. Definitions RequirementsOver whole Responses. Audit Procedures antiphonal to the Assessed Risks of Material Misstatement at the avouchment take.. Adequacy of Presentation and revelation. Evaluating the Sufficiency and rightness of Audit differentiate Documentation.. 1 2 3 4 5 6-24 25 26-28 29-31 Application and Other explanatory Material Overall Responses. A1-A3 Audit Procedures reactive to the Assessed Risks of Material Misstatement the Assertion direct.A4-A54 Adequacy of Presen tation and Disclosure A55 Evaluating the Sufficiency and Appropriateness of Audit Evidence. A56-A58 Documentation.. A59 Acknowledgment Philippine Standard on Auditing (prostate specific antigen) 330 (Redrafted), The Auditors Responses to Assessed Risks should be read in the context of the Preface to the Philippine Standards on Quality Control, Auditing, Review, Other Assurance and Related Services, which sets out the authority of prostate specific antigens. 2 prostate specific antigen 330 (Redrafted) IntroductionScope of this prostate specific antigen 1. This Philippine Standard on Auditing (PSA) deals with the att intercepters responsibility to normal and carry through responses to the mentions of hooey misstatement get word and assessed by the meeter in accordance with PSA 315, Identifying and Assessing Risks of Material Misstatement Through Understanding the Entity and Its environs in a financial statement study. Effective Date 2. This PSA is sound for size ups of fi nancial statements for blocks beginning on or after December 15, 2009. Objective 3.The objective of the tender is to chance satisfactory allow for inspected scotched account indorse much or less the assessed essays of stuff and nonsense misstatement, through designing and implementing clutch responses to those fortunes. Definitions 4. For purposes of the PSAs, the quest terms surrender the meanings attri thated below (a) all important(p) bit An size up mental dish out intentional to detect material misstatements at the self- conviction take. Substantive occasions ap tiptop (i) Tests of exposit (of classes of minutes, account balances, and disclosures), and ii) Substantive uninflected surgical processs. (b) Test of hold ins An visit procedure designed to evaluate the operate potency of get overs in preventing, or signal undercover work and correcting, material misstatements at the assertion take. Requirements Overall Responses 5. The he be r shall design and implement overall responses to cover up the assessed attempt of exposures of material misstatement at the financial statement level. (Ref Para. A1-A3) 3 PSA 330 (Redrafted) Audit Procedures Responsive to the Assessed Risks of Material Misstatement at the Assertion Level 6.The attendee shall design and complete set ahead size up procedures whose nature, clock, and terminus ar based on and be responsive to the assessed pretends of material misstatement at the assertion level. (Ref Para. A4-A8) 7. In designing the get on examine procedures to be doed, the attendee shall (a) contend the reasons for the judging given to the risk of material misstatement at the assertion level for individually class of legal proceeding, account balance, and disclosure, including (i) The likelihood of material misstatement due to the crabby characteristics of the applicable class of transactions, account balance, or disclosure (i. . , the inherent risk) and (ii) Whe ther the risk perspicacity takes account of germane(predicate) ascendencys (i. e. , the control risk), in that respectby requiring the meeter to get low ones skin scrutinise recite to patch up whether the controls ar mathematical operational efficaciously (i. e. , the he atomic number 18r intends to entrust on the direct enduringness of controls in ascertain the nature, clock and tip of indispensable procedures) and (Ref Para. A9-A18) (b) Obtain to a greater uttermost persuasive size up assure the higher the inspectors assessment of risk. (Ref Para. A19) Tests of Controls 8.The take stockor shall design and consummate campaigns of controls to fetch capable appropriate inspect say as to the in operation(p) intensity level of germane(predicate) controls when (a) The he arrs assessment of risks of material misstatement at the assertion level embroils an expectation that the controls ar in operation(p) effectively (i. e. , the scrutiniseor inten ds to believe on the operating speciality of controls in find out the nature, timing and extent of substantive procedures) or (b) Substantive procedures entirely nonify non digest sufficient appropriate examine try out at the assertion level. Ref Para. A20-A24) 9. In designing and playacting sieves of controls, the studyor shall fuck off more than(prenominal) persuasive visited account evince the greater the trustfulness the examineor places on the forte of a control. (Ref Para. A25) 4 PSA 330 (Redrafted) nature and Extent of Tests of Controls 10. In designing and action campaigns of controls, the listener shall (a) Perform separate take stock procedures in combination with dubiousness to throw study tell intimately the operating capabilityityity of the controls, including (i) How the controls were apply at relevant quantifys during the period under visit. ii) The consistency with which they were applied. (iii) By whom or by what direction the y were applied. (Ref Para. A26-29) (b) Determine whether the controls to be block outed regard upon opposite controls ( confirmatory controls), and if so, whether it is necessary to obtain scrutinize try out keep the effective operation of those indirect controls. (Ref Para. A3031) Timing of Tests of Controls 11. The analyzeor shall test controls for the special(a) time, or throughout the period, for which the studyor intends to rely on those controls, type to aragraphs 12 and 15 below, in order to extend an appropriate root word for the examineors intend reliance. (Ref Para. A32) Using study betoken obtained during an temporary period 12. When the analyzeor obtains audit show up intimately the operating effectiveness of controls during an retardation period, the auditor shall (a) Obtain audit establish about signifi hatfult changes to those controls subsequent to the impermanent period and (b) Determine the superfluous audit say to be obtained for the res t period. (Ref Para.A33-A34) Using audit secernate obtained in preceding audits 13. In determine whether it is appropriate to use audit separate about the operating effectiveness of controls obtained in preceding(prenominal) audits, and, if so, the length of the time period that whitethorn pass by before reexamination a control, the auditor shall read the following 5 PSA 330 (Redrafted) (a) The effectiveness of former(a)(a) elements of cozy control, including the control environment, the entitys monitor of controls, and the entitys risk assessment process b) The risks arising from the characteristics of the control, including whether it is manual(a) or automatise (c) The effectiveness of general IT-controls (d) The effectiveness of the control and its cover by the entity, including the nature and extent of deviations in the application of the control noned in earlier audits, and whether thither pay been personnel changes that authoritatively concern the application of the control (e) Whether the neediness of a change in a particular control poses a risk due to changing circumstances and f) The risks of material misstatement and the extent of reliance on the control. (Ref Para. A35) 14. If the auditor plans to use audit evidence from a previous audit about the operating effectiveness of specific controls, the auditor shall make up the continue relevance of that evidence by obtaining audit evidence about whether significant changes in those controls have pass offred subsequent to the previous audit. The auditor shall obtain this evidence by playacting examination unite with observation or inspection, to confirm the understanding of those specific controls, and a) If there have been changes that affect the continuing relevance of the audit evidence from the previous audit, the auditor shall test the controls in the current audit. (Ref Para. A36) (b) If there have not been such(prenominal)(prenominal) changes, the auditor shall test the contr ols at least once in every tertiary audit, and shall test close to controls severally audit to avoid the possibility of exam all the controls on which the auditor intends to rely in a single audit period with no testing of controls in the subsequent two audit periods. (Ref Para. A37-39) Controls over significant risks 15.When the auditor plans to rely on controls over a risk the auditor has pertinacious to be a significant risk, the auditor shall test those controls in the current period. 6 PSA 330 (Redrafted) Evaluating the Operating strong point of Controls 16. When evaluating the operating effectiveness of relevant controls, the auditor shall evaluate whether misstatements that have been detect by substantive procedures foreshadow that controls are not operating effectively. The absence seizure of misstatements discover by substantive procedures, however, does not provide audit evidence that controls cerebrate to to the assertion being tested are effective. Ref Para. A4 0) 17. When deviations from controls upon which the auditor intends to rely are detected, the auditor shall make specific inquiries to understand these progenys and their potentiality consequences, and shall determine whether (a) The tests of controls that have been performed provide an appropriate basis for reliance on the controls (b) Additional tests of controls are necessary or (c) The potential risks of misstatement need to be addressed victimization substantive procedures. (Ref Para. A41) 18.The auditor shall evaluate whether, on the basis of the audit work performed, the auditor has identified a material weakness in the operating effectiveness of controls. 19. The auditor shall communicate material weaknesses in versed control identified during the audit on a well timed(p) basis to focusing at an appropriate level of responsibility and, as call for by PSA 260 (Revised), Communication with Those Charged with Governance, 1 with those supercharged with governance (unless all of those charged with governance are guided in managing the entity). Substantive Procedures 0. Irrespective of the assessed risks of material misstatement, the auditor shall design and perform substantive procedures for each material class of transactions, account balance, and disclosure. (Ref Para. A42-A47) Substantive Procedures Related to the monetary financial statement Closing Process 21. The auditors substantive procedures shall imply the following audit procedures related to the financial statement closing process (a) Agreeing or reconciling the financial statements with the underlying accountancy records and 1 just about off document approved May 2006. 7PSA 330 (Redrafted) (b) Examining material diary entries and other adjustments do during the course of preparing the financial statements. (Ref Para. A48) Substantive Procedures Responsive to portentous Risks 22. When the auditor has determined that an assessed risk of material misstatement at the assertion le vel is a significant risk, the auditor shall perform substantive procedures that are specifically responsive to that risk. When the come up to a significant risk consists barely of substantive procedures, those procedures shall embroil tests of expatiate. Ref Para. A49) Timing of Substantive Procedures 23. When substantive procedures are performed at an retardation project, the auditor shall cover the stay period by performing (a) Substantive procedures, combine with tests of controls for the intervening period or (b) If the auditor determines that it is sufficient, further substantive procedures totally, that provide a reasonable basis for extending the audit conclusions from the interim particular reckon to the period end. (Ref Para. A51-A53) 24.If misstatements that the auditor did not expect when assessing the risks of material misstatement are detected at an interim experience, the auditor shall evaluate whether the related assessment of risk and the mean nature, t iming, or extent of substantive procedures covering the be period need to be modified. (Ref Para. A54) Adequacy of Presentation and Disclosure 25. The auditor shall perform audit procedures to evaluate whether the overall presentation of the financial statements, including the related disclosures, is in accordance with the applicable financial reportage framework. Ref Para. A55) Evaluating the Sufficiency and Appropriateness of Audit Evidence 26. Based on the audit procedures performed and the audit evidence obtained, the auditor shall evaluate before the conclusion of the audit whether the assessments of the risks of material misstatement at the assertion level remain appropriate. (Ref Para. A56-57) 27. The auditor shall conclude whether sufficient appropriate audit evidence has been obtained. In forming an opinion, the auditor shall consider all elevant audit evidence, regardless of whether it appears to corroborate or to contradict the assertions in the financial statements. (R ef Para. A58) 8 PSA 330 (Redrafted) 28. If the auditor has not obtained sufficient appropriate audit evidence as to a material financial statement assertion, the auditor shall enterprise to obtain further audit evidence. If the auditor is unable to obtain sufficient appropriate audit evidence, the auditor shall express a qualified opinion or a disclaimer of opinion. Documentation 29. The auditor shall document a) The overall responses to address the assessed risks of material misstatement at the financial statement level, and the nature, timing, and extent of the further audit procedures performed (b) The linkage of those procedures with the assessed risks at the assertion level and (c) The topics of the audit procedures, including the conclusions where these are not otherwise hit. (Ref Para. A59) 30. If the auditor plans to use audit evidence about the operating effectiveness of controls obtained in previous audits, the auditor shall document the conclusions reached about relyin g on such controls that were tested in a previous audit. 1. The auditors livelihood shall demonstrate that the financial statements agree or reconcile with the underlying accounting records. *** Application and Other Explanatory Material Overall Responses (Ref Para. 5) A1. Overall responses to address the assessed risks of material misstatement at the financial statement level whitethorn acknowledge Emphasizing to the audit team the need to maintain professional skepticism. assign more experienced staff or those with special skills or use experts. Providing more supervision. Incorporating additional elements of unpredict office in the selection of further audit procedures to be performed. 9 PSA 330 (Redrafted) A2. Making general changes to the nature, timing, or extent of audit procedures, for interpreter performing substantive procedures at the period end instead of at an interim date or modifying the nature of audit procedures to obtain more persuasive audit evidence. The assessment of the risks of material misstatement at the financial statement level, and thereby the auditors overall responses, is impact by the auditors understanding of the control environment.An effective control environment whitethorn allow the auditor to have more potency in internal control and the reliability of audit evidence generated internally within the entity and thus, for example, allow the auditor to conduct both(prenominal) audit procedures at an interim date sort of than at the period end. enervatednesses in the control environment, however, have the opposite effect for example, the auditor whitethorn respond to an inefficacious control environment by Obtaining more extensive audit evidence from substantive procedures. A3.Conducting more audit procedures as of the period end rather than at an interim date. Increasing the number of locations to be included in the audit scope. Such considerations, therefore, have a significant bearing on the auditors general rise, for example, an emphasis on substantive procedures (substantive approach), or an approach that uses tests of controls as well as substantive procedures (combined approach). Audit Procedures Responsive to the Assessed Risks of Material Misstatement at the Assertion Level The Nature, Timing, and Extent of Further Audit Procedures (Ref Para. 6) A4.The auditors assessment of the identified risks at the assertion level provides a basis for considering the appropriate audit approach for designing and performing further audit procedures. For example, (as appropriate and notwithstanding the requirements of this PSA)2, the auditor whitethorn determine that (a) yet by performing tests of controls whitethorn the auditor achieve an effective response to the assessed risk of material misstatement for a particular assertion (b) playing provided substantive procedures is appropriate for particular assertions and, therefore, the auditor excludes the effect of controls from the relevant ri sk assessment.This whitethorn be because the auditors risk assessment procedures 2 For example, as required by split 20, irrespective of the approach selected, the auditor designs and performs substantive procedures for each significant class of transactions, account balance, and disclosure. 10 PSA 330 (Redrafted) have not identified any(prenominal) effective controls relevant to the assertion, or because testing controls would be inefficient and therefore the auditor does not intend to rely on the operating effectiveness of controls in find out the nature, timing and extent of substantive procedures or c) A combined approach using both tests of controls and substantive procedures is an effective approach. A5. The nature of an audit procedure refers to its purpose (i. e. , test of controls or substantive procedure) and its type (i. e. , inspection, observation, inquiry, confirmation, recalculation, re mathematical operation, or analytical procedure). The nature of the audit proce dures is of most importance in responding to the assessed risks. A6. Timing of an audit procedure refers to when it is performed, or the period or date to which the audit evidence applies.A7. Extent of an audit procedure refers to the quantity to be performed, for example, a specimen size or the number of observations of a control activity. A8. Designing and performing further audit procedures whose nature, timing, and extent are based on and are responsive to the assessed risks of material misstatement at the assertion level provides a clear linkage between the auditors further audit procedures and the risk assessment. Responding to the Assessed Risks at the Assertion Level (Ref Para. 7(a)) NatureA9. The auditors assessed risks may affect both the types of audit procedures to be performed and their combination. For example, when an assessed risk is high, the auditor may confirm the completeness of the terms of a contract with the counterparty, in addition to inspecting the docum ent. Further, certain audit procedures may be more appropriate for some assertions than others. For example, in relation to revenue, tests of controls may be most responsive to the assessed risk of misstatement of the completeness ssertion, whereas substantive procedures may be most responsive to the assessed risk of misstatement of the occurrence assertion. A10. The reasons for the assessment given to a risk are relevant in determining the nature of audit procedures. For example, if an assessed risk is disgrace because of the particular characteristics of a class of transactions without consideration of the related controls, then the auditor may determine that substantive analytical procedures alone provide sufficient appropriate audit evidence.On the other hand, if the assessed risk is lower because of internal controls, and the auditor intends to base the substantive procedures on that low assessment, then the auditor performs tests of those controls, as required by paragraph 8 (a). This may be the case, for 11 PSA 330 (Redrafted) example, for a class of transactions of reasonably uniform, non-complex characteristics that are routinely processed and controlled by the entitys information arrangement. Timing A11.The auditor may perform tests of controls or substantive procedures at an interim date or at the period end. The higher the risk of material misstatement, the more likely it is that the auditor may decide it is more effective to perform substantive procedures nearer to, or at, the period end rather than at an earlier date, or to perform audit procedures unpredicted or at unpredictable times (for example, performing audit procedures at selected locations on an unannounced basis). This is particularly relevant when considering the response to the risks of fraud.For example, the auditor may conclude that, when the risks of intended misstatement or manipulation have been identified, audit procedures to extend audit conclusions from interim date to the period end would not be effective. A12. On the other hand, performing audit procedures before the period end may advert the auditor in identifying significant matters at an early stage of the audit, and hence resolving them with the assistance of management or developing an effective audit approach to address such matters. A13. In addition, certain audit procedures can be performed only at or after the period end, for example Examining adjustments made during the course of preparing the financial statements and A14. Agreeing the financial statements to the accounting records Procedures to respond to a risk that, at the period end, the entity may have entered into im beseeming gross gross revenue contracts, or transactions may not have been finalized. Further relevant factors that influence the auditors consideration of when to perform audit procedures include the following The control environment. When relevant information is available (for example, electronic files may subs equently be overwritten, or procedures to be observed may occur only at certain times). The nature of the risk (for example, if there is a risk of inflated revenues to meet earnings expectations by subsequent man of false sales agreements, 12 PSA 330 (Redrafted) the auditor may hankering to examine contracts available on the date of the period end). The period or date to which the audit evidence relates. Extent A15. The extent of an audit procedure judged necessary is determined after considering the materiality, the assessed risk, and the gradation of assurance the auditor plans to obtain.When a single purpose is met by a combination of procedures, the extent of each procedure is considered separately. In general, the extent of audit procedures increases as the risk of material misstatement increases. For example, in response to the assessed risk of material misstatement due to fraud, increasing have sizes or performing substantive analytical procedures at a more detailed leve l may be appropriate. However, increasing the extent of an audit procedure is effective only if the audit procedure itself is relevant to the specific risk.A16. The use of computer-assisted audit techniques (CAATs) may enable more extensive testing of electronic transactions and account files, which may be useful when the auditor decides to modify the extent of testing, for example, in responding to the risks of material misstatement due to fraud. Such techniques can be use to select sample transactions from key electronic files, to sort transactions with specific characteristics, or to test an entire commonwealth instead of a sample. Considerations specific to public arena entities A17.For the audits of public sector entities, the audit mandate and any other special auditing requirements may affect the auditors consideration of the nature, timing and extent of further audit procedures. Considerations specific to smaller entities A18. In the case of very small entities, there may not be many control activities that could be identified by the auditor, or the extent to which their existence or operation have been documented by the entity may be limited. In such cases, it may be more efficient for the auditor to perform further audit procedures that are in the first place substantive procedures.In some rare cases, however, the absence of control activities or of other components of control may make it impossible to obtain sufficient appropriate audit evidence. Higher Assessments of Risk (Ref Para 7(b)) A19. When obtaining more persuasive audit evidence because of a higher assessment of risk, the auditor may increase the quantity of the evidence, or obtain evidence that is more relevant or reliable, e. g. , by placing more emphasis on obtaining terzetto 13 PSA 330 (Redrafted) party evidence or by obtaining corroborating evidence from a number of independent sources.Tests of Controls Designing and Performing Tests of Controls (Ref Para. 8) A20. Tests of control s are performed only on those controls that the auditor has determined are suitably designed to prevent, or detect and correct, a material misstatement in an assertion. If substantially different controls were apply at different times during the period under audit, each is considered separately. A21. interrogation the operating effectiveness of controls is different from obtaining an understanding of and evaluating the design and implementation of controls.However, the analogous types of audit procedures are utilize. The auditor may, therefore, decide it is efficient to test the operating effectiveness of controls at the same time as evaluating their design and determining that they have been utilize. A22. Further, although some risk assessment procedures may not have been specifically designed as tests of controls, they may nevertheless provide audit evidence about the operating effectiveness of the controls and, consequently, serve as tests of controls. For example, the audit ors risk assessment procedures may have included prying about managements use of budgets. Observing managements comparison of monthly budgeted and actual expenses. Inspecting reports pertaining to the investigation of variances between budgeted and actual amounts. These audit procedures provide knowledge about the design of the entitys budgeting policies and whether they have been implemented, but may overly provide audit evidence about the effectiveness of the operation of budgeting policies in preventing or detecting material misstatements in the assortment of expenses. A23.In addition, the auditor may design a test of controls to be performed at the same time with a test of details on the same transaction. Although the purpose of a test of controls is different from the purpose of a test of details, both may be accomplished concurrently by performing a test of controls and a test of details on the same transaction, also cognize as a dual-purpose test. For example, the aud itor may design, and evaluate the results of, a test to examine an invoice to determine whether it has been approved and to provide substantive audit evidence of a 14 PSA 330 (Redrafted) ransaction. A dual-purpose test is designed and evaluated by considering each purpose of the test separately. A24. In some cases, as discussed in PSA 315, the auditor may find it impossible to design effective substantive procedures that by themselves provide sufficient appropriate audit evidence at the assertion level. This may occur when an entity conducts its business using IT and no sustentationing of transactions is produced or maintained, other than through the IT system. In such cases, paragraph 8(b) requires the auditor to perform tests of relevant controls.Audit Evidence and think Reliance (Ref Para. 9) A25. A higher level of assurance may be sought about the operating effectiveness of controls when the approach adopted consists primarily of tests of controls, in particular where it is n ot possible or practicable to obtain sufficient appropriate audit evidence only from substantive procedures. Nature and Extent of Tests of Controls Other audit procedures in combination with inquiry (Ref Para. 10(a)) A26. doubtfulness alone is not sufficient to test the operating effectiveness of controls.Accordingly, other audit procedures are performed in combination with inquiry. In this regard, inquiry combined with inspection or reperformance may provide more assurance than inquiry and observation, since an observation is pertinent only at the point in time at which it is made. A27. The nature of the particular control influences the type of procedure required to obtain audit evidence about whether the control was operating effectively. For example, if operating effectiveness is evidenced by documentation, the auditor may decide to inspect it to obtain audit evidence about operating effectiveness.For other controls, however, documentation may not be available or relevant. For example, documentation of operation may not exist for some factors in the control environment, such as assignment of authority and responsibility, or for some types of control activities, such as control activities performed by a computer. In such circumstances, audit evidence about operating effectiveness may be obtained through inquiry in combination with other audit procedures such as observation or the use of CAATs. Extent of tests of controls A28.When more persuasive audit evidence is needed regarding the effectiveness of a control, it may be appropriate to increase the extent of testing of the control. As well as the degree of reliance on controls, matters the auditor may consider in determining the extent of tests of controls include the following 15 PSA 330 (Redrafted) The frequency of the performance of the control by the entity during the period. The length of time during the audit period that the auditor is relying on the operating effectiveness of the control. The expe cted rate of deviation from a control. The relevance and reliability of the audit evidence to be obtained regarding the operating effectiveness of the control at the assertion level. The extent to which audit evidence is obtained from tests of other controls related to the assertion. PSA 530, Audit Sampling and Other Means of interrogation contains further centering on the extent of testing. A29. Because of the inherent consistency of IT processing, it may not be necessary to increase the extent of testing of an automated control.An automated control can be expected to function systematically unless the program (including the tables, files, or other permanent data used by the program) is changed. Once the auditor determines that an automated control is functioning as intended (which could be done at the time the control is initially implemented or at some other date), the auditor may consider performing tests to determine that the control continues to function effectively. Such tests might include determining that Changes to the program are not made without being subject to the appropriate program change controls, The authorized version of the program is used for processing transactions, and Other relevant general controls are effective. Such tests also might include determining that changes to the programs have not been made, as may be the case when the entity uses packaged software applications without modifying or maintaining them. For example, the auditor may inspect the record of the administration of IT security to obtain audit evidence that unauthorized access has not occurred during the period. Testing of indirect controls (Ref Para. 10(b))A30. In some circumstances, it may be necessary to obtain audit evidence supporting the effective operation of indirect controls. For example, when the auditor decides to test the effectiveness of a user review of exception reports detailing sales in bare of authorized credit limits, the user review and relat ed follow up is the control that is directly of relevance to the auditor. Controls over the accuracy of 16 PSA 330 (Redrafted) the information in the reports (for example, the general IT controls) are described as indirect controls. A31.Because of the inherent consistency of IT processing, audit evidence about the implementation of an automated application control, when considered in combination with audit evidence about the operating effectiveness of the entitys general controls (in particular, change controls), may also provide substantial audit evidence about its operating effectiveness. Timing of Tests of Controls think period of reliance (Ref Para. 11) A32. Audit evidence pertaining only to a point in time may be sufficient for the auditors purpose, for example, when testing controls over the entitys physical inventory counting at the period end.If, on the other hand, the auditor intends to rely on a control over a period, tests that are capable of providing audit evidence tha t the control operated effectively at relevant times during that period are appropriate. Such tests may include tests of the entitys monitoring of controls. Using audit evidence obtained during an interim period (Ref Para. 12) A33. Relevant factors in determining what additional audit evidence to obtain about controls that were operating during the period remaining after an interim period, include The specific controls that were tested during the interim period, and significant changes to them since they were tested, including changes in the information system, processes, and personnel. The degree to which audit evidence about the operating effectiveness of those controls was obtained. The length of the remaining period. The extent to which the auditor intends to reduce further substantive procedures based on the reliance of controls. A34. The significance of the assessed risks of material misstatement at the assertion level. The control environment.Additional audit evidence ma y be obtained, for example, by extending tests of controls over the remaining period or testing the entitys monitoring of controls. 17 PSA 330 (Redrafted) Using audit evidence obtained in previous audits (Ref Para. 13) A35. In certain circumstances, audit evidence obtained from previous audits may provide audit evidence where the auditor performs audit procedures to establish its continuing relevance. For example, in performing a previous audit, the auditor may have determined that an automated control was functioning as intended.The auditor may obtain audit evidence to determine whether changes to the automated control have been made that affect its continued effective functioning through, for example, inquiries of management and the inspection of logs to paint a picture what controls have been changed. Consideration of audit evidence about these changes may support either increasing or decreasing the expected audit evidence to be obtained in the current period about the operating effectiveness of the controls. Controls that have changed from previous audits (Ref Para. 4(a)) A36. Changes may affect the relevance of the audit evidence obtained in previous audits such that there may no prolonged be a basis for continued reliance. For example, changes in a system that enable an entity to receive a new report from the system in all probability do not affect the relevance of audit evidence from a previous audit however, a change that causes data to be compile or calculated differently does affect it. Controls that have not changed from previous audits (Ref Para. 14(b)) A37.The auditors decision on whether to rely on audit evidence obtained in previous audits for controls that (a) Have not changed since they were last tested and (b) Are not controls that mitigate a significant risk, is a matter of professional judgment. In addition, the length of time between retesting such controls is also a matter of professional judgment, but is required by paragraph 14(b) t o be at least once in every third year. A38. In general, the higher the risk of material misstatement, or the greater the reliance on controls, the shorter the time period elapsed, if any, is likely to be.Factors that may decrease the period for retesting a control, or result in not relying on audit evidence obtained in previous audits at all, include the following A weak control environment. Weak monitoring of controls. A significant manual element to the relevant controls. 18 PSA 330 (Redrafted) Changing circumstances that indicate the need for changes in the control. A39. Personnel changes that significantly affect the application of the control. Weak general IT-controls.When there are a number of controls for which the auditor intends to rely on audit evidence obtained in previous audits, testing some of those controls in each audit provides corroborating information about the continuing effectiveness of the control environment. This contributes to the auditors decision ab out whether it is appropriate to rely on audit evidence obtained in previous audits. Evaluating the Operating effectuality of Controls (Ref Para. 16-19) A40. A material misstatement detected by the auditors procedures may indicate the existence of a material weakness in internal control.A41. The concept of effectiveness of the operation of controls recognizes that some deviations in the way controls are applied by the entity may occur. Deviations from prescribed controls may be caused by such factors as changes in key personnel, significant seasonal fluctuations in volume of transactions and human error. The detected rate of deviation, in particular in comparison with the expected rate, may indicate that the control cannot be relied on to reduce risk at the assertion level to that assessed by the auditor.Substantive Procedures (Ref Para. 20) A42. Paragraph 20 requires the auditor to design and perform substantive procedures for each material class of transactions, account balance, a nd disclosure, irrespective of the assessed risks of material misstatement. This requirement reflects the facts that (i) the auditors assessment of risk is judgmental and so may not identify all risks of material misstatement and (ii) there are inherent limitations to internal control, including management override.Nature and Extent of Substantive Procedures A43. Depending on the circumstances, the auditor may determine that Performing only substantive analytical procedures will be sufficient to reduce audit risk to an acceptably low level. For example, where the auditors assessment of risk is supported by audit evidence from tests of controls. Only tests of details are appropriate. A combination of substantive analytical procedures and tests of details are most responsive to the assessed risks. 19 PSA 330 (Redrafted) A44.Substantive analytical procedures are generally more applicable to large volumes of transactions that tend to be predictable over time. PSA 520, Analytical Proc edures establishes requirements and provides guidance on the application of analytical procedures during an audit. A45. The nature of the risk and assertion is relevant to the design of tests of details. For example, tests of details related to the existence or occurrence assertion may involve selecting from items contained in a financial statement amount and obtaining the relevant audit evidence.On the other hand, tests of details related to the completeness assertion may involve selecting from items that are expected to be included in the relevant financial statement amount and investigating whether they are included. A46. Because the assessment of the risk of material misstatement takes account of internal control, the extent of substantive procedures may need to be change magnitude when the results from tests of controls are unsatisfactory. However, increasing the extent of an audit procedure is appropriate only if the audit procedure itself is relevant to the specific risk. A4 7.In designing tests of details, the extent of testing is ordinarily thought of in terms of the sample size. However, other matters are also relevant, including whether it is more effective to use other selective means of testing. See PSA 530 for additional guidance. Substantive Procedures Related to the Financial Statement Closing Process (Ref Para. 21(b)) A48. The nature, and also the extent, of the auditors examination of journal entries and other adjustments depends on the nature and complexity of the entitys financial reporting process and the related risks of material misstatement.Substantive Procedures Responsive to Significant Risks (Ref Para. 22) A49. Paragraph 22 of this PSA requires the auditor to perform substantive procedures that are specifically responsive to risks the auditor has determined to be significant risks. For example, if the auditor identifies that management is under pressure to meet earnings expectations, there may be a risk that management is inflating sales by improperly recognizing revenue related to sales agreements with terms that preclude revenue recognition or by invoicing sales before shipment.In these circumstances, the auditor may, for example, design external confirmations not only to confirm outstanding amounts, but also to confirm the details of the sales agreements, including date, any rights of return and delivery terms. In addition, the auditor may find it effective to supplement such external confirmations with inquiries of non-financial personnel in the entity regarding any changes in sales agreements and delivery terms. Substantive procedures related to 20 PSA 330 (Redrafted) ignificant risks are most often designed to obtain audit evidence with high reliability. Timing of Substantive Procedures (Ref Para. 23-24) A50. In most cases, audit evidence from a previous audits substantive procedures provides little or no audit evidence for the current period. thither are, however, exceptions, e. g. , a effectual opini on obtained in a previous audit related to the complex body part of a securitization to which no changes have occurred, may be relevant in the current period.In such cases, it may be appropriate to use audit evidence from a previous audits substantive procedures if that evidence and the related subject matter have not fundamentally changed, and audit procedures have been performed during the current period to establish its continuing relevance. Using audit evidence obtained during an interim period (Ref Para. 23) A51. In some circumstances, the auditor may determine that it is effective to perform substantive procedures at an interim date, and to par and reconcile information concerning the balance at the period end with the same information at the interim date to a) Identify amounts that appear unusual, (b) check over any such amounts, and (c) Perform substantive analytical procedures or tests of details to test the intervening period. A52. Performing substantive procedures at an interim date without undertaking additional procedures at a later date increases the risk that the auditor will not detect misstatements that may exist at the period end. This risk increases as the remaining period is lengthened. Factors such as the following may influence whether to perform substantive procedures at an interim date The control environment and other relevant controls. The availability at a later date of information necessary for the auditors procedures. The purpose of the substantive procedure. The assessed risk of material misstatement. The nature of the class of transactions or account balance and related assertions. 21 PSA 330 (Redrafted) A53. The ability of the auditor to perform appropriate substantive procedures or substantive procedures combined with tests of controls to cover the remaining period in order to reduce the risk that misstatements that may exist at the period end will not be detected.Factors such as the following may influence whether to perform substantive analytical procedures with respect to the period between the interim date and the period end Whether the period end balances of the particular classes of transactions or account balances are reasonably predictable with respect to amount, relative significance, and idea. Whether the entitys procedures for analyzing and adjusting such classes of transactions or account balances at interim dates and for establishing proper accounting cutoffs are appropriate. Whether the information system relevant to financial reporting will provide information concerning the balances at the period end and the transactions in the remaining period that is sufficient to permit investigation of (a) Significant unusual transactions or entries (including those at or near the period end), (b) Other causes of significant fluctuations, or expected fluctuations that did not occur, and (c) Changes in the composition of the classes of transactions or account balances.Misstatements detected at an interim date (Ref Para. 24) A54. When the auditor concludes that the planned nature, timing, or extent of substantive procedures covering the remaining period need to be modified as a result of unexpected misstatements detected at an interim date, such modification may include extending or repeating the procedures performed at the interim date at the period end. Adequacy of Presentation and Disclosure (Ref Para. 25) A55.Evaluating the overall presentation of the financial statements, including the related disclosures, relates to whether the individual financial statements are presented in a way of life that reflects the appropriate classification and description of financial information, and the form, arrangement, and content of the financial statements and their appended notes. This includes, for example, the voice communication 22 PSA 330 (Redrafted) used, the amount of detail given, the classification of items in the statements, and the bases of amounts set forth. Evaluat ing the Sufficiency and Appropriateness of Audit Evidence (Ref Para. 6-28) A56. An audit of financial statements is a cumulative and iterative process. As the auditor performs planned audit procedures, the audit evidence obtained may cause the auditor to modify the nature, timing, or extent of other planned audit procedures. Information may come to the auditors attention that differs significantly from the information on which the risk assessment was based. For example, The extent of misstatements that the auditor detects by performing substantive procedures may deepen the auditors judgment about the risk assessments and may indicate a material weakness in internal control. The auditor may become aware of discrepancies in accounting records, or conflicting or missing evidence. Analytical procedures performed at the overall review stage of the audit may indicate a previously unrecognized risk of material misstatement. In such circumstances, the auditor may need to reevaluate the p lanned audit procedures, based on the revised consideration of assessed risks for all or some of the classes of transactions, account balances, or disclosures and related assertions. PSA 315 contains further guidance on revising the auditors risk assessment. A57.The auditor cannot tangle with that an instance of fraud or error is an isolated occurrence. Therefore, the consideration of how the detection of a misstatement affects the assessed risks of material misstatement is important in determining whether the assessment form appropriate. A58. The auditors judgment as to what constitutes sufficient appropriate audit evidence is influenced by such factors as the following Significance of the potential misstatement in the assertion and the likelihood of its having a material effect, individually or aggregated with other potential misstatements, on the financial statements. Effectiveness of managements responses and controls to address the risks. Experience gained during previous a udits with respect to similar potential misstatements. Results of audit procedures performed, including whether such audit procedures identified specific instances of fraud or error. 23 PSA 330 (Redrafted) Source and reliability of the available information. Persuasiveness of the audit evidence. Understanding of the entity and its environment, including the entitys internal control. Documentation (Ref Para. 29) A59.The form and extent of audit documentation is a matter of professional judgment, and is influenced by the nature, size and complexity of the entity and its internal control, availability of information from the entity and the audit methodology and technology used in the audit. Acknowledgment This PSA is based on International Standard on Auditing 330 (Redrafted), The Auditors Responses to Assessed Risks, issued by the International Auditing and Assurance Standards Board. There are no significant differences between this PSA 330 (Redrafted) and ISA 330 (Redrafted). 4 P SA 330 (Redrafted) This PSA 330 (Redrafted), The Auditors Responses to Assessed Risks, was unanimously approved for adoption on January 29, 2007 by the members of the Auditing and Assurance Standards Council. Benjamin R. Punongbayan, Chairman Felicidad A. Abad Antonio P. Acyatan Erwin Vincent G. Alcala Froilan G. Ampil David L. Balangue Ma. Gracia Casals-Diaz Amorsonia B. Escarda Manuel O. Faustino Eliseo A. Fernandez Nestorio C. Roraldo Joaquin P. Tolentino Editha O. Tuason Jaime E. Ysmael 25