Subsequent Events and Subsequently Discovered Facts

Free CPA AUD (Auditing & Attestation) lesson in Performing Further Procedures and Obtaining Evidence. 14 min read, ~2,145 words.

AU-C 560 governs subsequent events (between balance sheet date and audit report date) and subsequently discovered facts (after audit report date). Type 1, recognized: condition existed at balance sheet date, adjust the financial statements. Type 2, nonrecognized: condition arose after balance sheet date, disclose only. Audit report date = the...

What this lesson covers

• Content
• Example 1
• Common Mistakes
• Key Takeaways
• Exam Shortcuts

Learning objectives

• III.H1

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