Using the Work of Experts in Financial Audits Training Course

Course Introduction

Using the Work of Experts in Financial Audits Training Course provides a comprehensive and practical framework for auditors who need to evaluate, use, document, and review the work of experts during financial statement audit engagements. The course examines how expert involvement can strengthen audit evidence in specialized areas while emphasizing the auditor’s continuing responsibility for understanding the subject matter, assessing risks, evaluating evidence, and reaching appropriate audit conclusions.

The course explores the circumstances in which auditors may need specialized knowledge beyond accounting and auditing expertise, including valuation, actuarial calculations, taxation, engineering, geology, information technology, environmental matters, financial instruments, complex estimates, and other technically demanding areas. Participants learn how to determine whether expert involvement is necessary, define the scope of the expert’s work, assess relevant qualifications and capabilities, and establish appropriate expectations regarding deliverables and documentation.

A central component of Using the Work of Experts in Financial Audits Training Course is the evaluation of expert competence, capabilities, objectivity, and independence. Participants examine practical considerations for assessing both management’s experts and auditors’ experts, including professional credentials, relevant experience, industry knowledge, relationships with the entity, potential conflicts of interest, methodological limitations, and the reliability of information provided to the expert. The course emphasizes the importance of critically evaluating expert work rather than treating specialist conclusions as automatically reliable.

The course also focuses on integrating expert work into the overall audit methodology. Participants learn how to connect expert involvement with risk assessment, materiality, financial statement assertions, significant risks, audit procedures, evidence evaluation, and audit documentation. Particular attention is given to determining whether the expert’s assumptions, methods, models, source data, calculations, and conclusions are reasonable and consistent with other evidence obtained during the audit.

Using the Work of Experts in Financial Audits Training Course addresses challenging situations involving significant estimates, fair value measurements, impairment assessments, provisions, expected credit losses, pension obligations, complex financial instruments, business combinations, natural resource reserves, technical assets, and other specialized matters. Participants learn how to respond when expert conclusions conflict with management’s position, other audit evidence, or the auditor’s expectations, including when additional procedures, consultation, or another expert may be necessary.

The course concludes by examining emerging issues affecting the use of experts in modern financial audits, including artificial intelligence, automated valuation models, sophisticated financial models, digital assets, cybersecurity, sustainability-related information, climate-related estimates, and technology-enabled specialist analysis. By the end of the program, participants will be better equipped to plan expert involvement, evaluate specialist work critically, document professional judgments, resolve differences, and incorporate expert evidence into well-supported audit conclusions.

Duration

10 days

Who Should Attend

• External auditors responsible for financial statement audits involving specialized or complex subject matter.

• Audit managers and senior auditors responsible for evaluating and reviewing expert evidence.

• Audit supervisors involved in planning, coordinating, and documenting the use of specialists.

• Financial reporting professionals who regularly prepare estimates requiring specialist input.

• Finance managers responsible for coordinating valuation, actuarial, tax, engineering, or other expert assessments.

• Internal auditors seeking to understand how specialist work is evaluated within financial statement audits.

• Audit quality and assurance professionals reviewing engagements involving significant expert judgments.

• Professional accountants working with complex estimates, fair values, provisions, impairment, or specialized financial reporting matters.

• Valuation professionals who interact with external auditors during financial statement audits.

• Actuarial, engineering, taxation, information technology, and other specialists supporting audit engagements.

• Audit committee members and governance professionals overseeing significant estimates and specialist-supported financial reporting.

• Risk and compliance professionals dealing with technical, regulatory, valuation, or operational matters affecting financial reporting.

• Professionals involved in business combinations, financial instruments, pension obligations, or complex accounting estimates.

• Consultants and assurance professionals seeking stronger knowledge of expert evidence within financial audits.

• Experienced auditors preparing for engagement leadership, technical consultation, or audit quality responsibilities.

Course Objectives

• Develop a comprehensive understanding of when and why auditors may need to use the work of experts during financial statement audits.

• Identify situations involving valuation, actuarial, engineering, taxation, technology, financial instruments, and other specialized matters requiring expert knowledge.

• Evaluate the competence, capabilities, qualifications, experience, and objectivity of experts whose work is used as audit evidence.

• Assess potential conflicts of interest, relationships, professional independence considerations, and other factors that may affect the reliability of expert work.

• Establish appropriate objectives, scope, responsibilities, deliverables, communication arrangements, and documentation requirements when engaging an expert.

• Evaluate whether expert assumptions, methodologies, models, source data, calculations, and conclusions are reasonable and consistent with available audit evidence.

• Integrate expert work effectively into audit risk assessment, materiality, assertions, significant risk evaluation, audit procedures, and overall engagement strategy.

• Apply professional skepticism when reviewing expert conclusions, particularly where estimates involve significant uncertainty, complex assumptions, or management bias.

• Identify circumstances in which additional audit procedures, consultation, specialist review, or another expert may be necessary to resolve significant uncertainties or disagreements.

• Strengthen audit documentation by clearly explaining the nature of expert involvement, procedures performed, evidence evaluated, judgments made, and conclusions reached.

• Evaluate emerging risks associated with technology-enabled expertise, automated models, artificial intelligence, digital assets, sustainability information, and other specialized financial reporting matters.

• Apply practical techniques through case studies involving complex estimates and specialist evidence to develop defensible audit conclusions and high-quality engagement documentation.

Comprehensive Course Outline

Module 1: Foundations of Using Experts in Financial Audits

• Understanding the role of experts in financial statement audits and the circumstances that require specialized knowledge.

• Distinguishing the responsibilities of auditors, management, management’s experts, and auditors’ experts throughout the audit process.

• Understanding how specialist evidence interacts with audit risk, materiality, financial statement assertions, and overall audit conclusions.

• Identifying common risks associated with overreliance on expert work and insufficient evaluation of specialist evidence.

Module 2: Identifying the Need for Expert Involvement

• Evaluating financial statement areas where specialized knowledge may be necessary to obtain sufficient and appropriate audit evidence.

• Identifying complex matters involving valuation, actuarial calculations, engineering assessments, taxation, information technology, and financial instruments.

• Assessing whether the audit team possesses sufficient internal knowledge or whether external or internal specialist expertise is required.

• Determining the appropriate timing and scope of expert involvement based on risk, complexity, materiality, and engagement circumstances.

Module 3: Types of Experts Used in Financial Audits

• Examining the roles of valuation specialists, actuaries, engineers, tax specialists, economists, IT experts, and other technical professionals.

• Understanding how different forms of specialist expertise contribute to specific financial statement balances, transactions, and disclosures.

• Evaluating the appropriate specialist skill set for different audit risks and specialized financial reporting matters.

• Coordinating multiple specialists when an engagement involves interconnected technical, financial, operational, or regulatory issues.

Module 4: Evaluating Expert Competence and Capabilities

• Assessing professional qualifications, technical credentials, relevant experience, industry knowledge, and demonstrated expertise.

• Evaluating whether an expert possesses sufficient knowledge of the specific subject matter, reporting framework, and engagement circumstances.

• Considering the expert’s access to appropriate resources, methodologies, tools, data, technology, and professional support.

• Documenting the auditor’s assessment of whether the expert is capable of performing the assigned work to an appropriate professional standard.

Module 5: Evaluating Objectivity, Independence and Conflicts of Interest

• Identifying relationships and circumstances that may create threats to an expert’s objectivity or impartiality.

• Evaluating financial interests, commercial relationships, prior engagements, management influence, and other potential conflicts.

• Assessing the implications of using an expert who has previously performed work for management or another interested party.

• Establishing appropriate safeguards, disclosures, consultation requirements, and documentation when objectivity concerns arise.

Module 6: Planning and Defining the Expert’s Work

• Establishing clear objectives, scope, responsibilities, deliverables, timelines, communication channels, and documentation expectations.

• Determining the financial statement areas, assertions, risks, assumptions, methodologies, and conclusions the expert is expected to address.

• Coordinating the expert’s work with the audit team’s overall strategy and avoiding gaps or duplication between specialist and auditor procedures.

• Establishing appropriate protocols for resolving questions, requesting additional analysis, challenging assumptions, and escalating significant findings.

Module 7: Evaluating Expert Methods, Models and Assumptions

• Assessing whether the expert’s methods and models are appropriate for the relevant financial reporting objective and audit risk.

• Evaluating significant assumptions, estimation techniques, valuation inputs, sensitivity analysis, and sources of uncertainty.

• Considering whether assumptions are consistent with management’s plans, external evidence, historical results, market information, and other audit evidence.

• Identifying inappropriate methodologies, unsupported assumptions, model limitations, data deficiencies, and other factors affecting expert conclusions.

Module 8: Evaluating Data and Information Used by Experts

• Assessing the completeness, accuracy, relevance, reliability, and consistency of information supplied to specialists.

• Understanding how source data quality can affect valuations, actuarial calculations, impairment assessments, financial models, and other expert outputs.

• Performing procedures to reconcile specialist inputs with accounting records, operational data, external evidence, and other audit information.

• Responding when experts identify data limitations, inconsistencies, missing information, or uncertainty that could affect their conclusions.

Module 9: Expert Evidence in Significant Estimates and Valuations

• Applying specialist evidence to fair value measurements, impairment assessments, provisions, expected credit losses, and other significant estimates.

• Evaluating specialist work relating to financial instruments, complex securities, derivatives, investments, and business combination valuations.

• Assessing actuarial calculations for pensions, insurance obligations, employee benefits, and other long-term liabilities.

• Reviewing valuation and estimation conclusions in light of materiality, estimation uncertainty, sensitivity, market conditions, and financial reporting requirements.

Module 10: Using Management’s Experts

• Understanding the circumstances in which management engages specialists and how their work may contribute to financial statement preparation.

• Evaluating the competence, capabilities, objectivity, methods, assumptions, data, and conclusions of management’s experts.

• Performing additional audit procedures when management’s expert evidence does not sufficiently address the identified audit risk.

• Maintaining professional skepticism and independent judgment when expert conclusions support significant management estimates or accounting positions.

Module 11: Using the Auditor’s Own Experts

• Planning the use of an auditor’s expert and determining the appropriate specialist scope based on identified risks and audit objectives.

• Coordinating specialist work with the engagement team while preserving the auditor’s responsibility for the overall audit conclusion.

• Evaluating specialist findings and determining how they affect audit procedures, evidence, financial statement assertions, and reporting decisions.

• Documenting the auditor’s expert involvement, communications, judgments, disagreements, conclusions, and integration into the audit evidence trail.

Module 12: Resolving Differences and Contradictory Expert Evidence

• Identifying situations where expert conclusions conflict with management representations, other specialists, market information, or audit evidence.

• Evaluating the reasons for differences and determining whether methodology, assumptions, source data, scope, or professional judgment explains the disagreement.

• Performing additional procedures, consulting technical specialists, or obtaining alternative evidence when expert conclusions remain unresolved.

• Documenting significant disagreements and demonstrating how the engagement team reached a supportable final conclusion.

Module 13: Technology, Models and Emerging Specialist Risks

• Evaluating expert work that relies on artificial intelligence, automated valuation models, machine learning, algorithms, and sophisticated analytical systems.

• Assessing technology-related risks involving model integrity, data quality, cybersecurity, system dependencies, access controls, and automated calculations.

• Addressing specialist matters involving digital assets, blockchain-based transactions, climate-related estimates, sustainability information, and other emerging reporting areas.

• Determining how technology-driven specialist outputs can be tested, challenged, corroborated, and incorporated into reliable audit evidence.

Module 14: Documentation, Consultation and Audit Quality

• Preparing comprehensive documentation that explains the nature, scope, objectives, results, and significance of expert involvement.

• Linking specialist work to audit risks, assertions, materiality, procedures, evidence, judgments, and final financial statement conclusions.

• Identifying when consultation with technical specialists, engagement leadership, quality reviewers, or other experts is necessary.

• Reviewing expert documentation for clarity, completeness, consistency, evidence quality, and appropriate resolution of significant matters.

Module 15: Completion, Reporting and Professional Judgment

• Evaluating whether expert evidence is sufficient and appropriate to support significant audit conclusions and the overall audit opinion.

• Considering the effect of unresolved expert uncertainty, limitations, disagreements, or contradictory evidence on audit reporting.

• Assessing subsequent developments and whether changes in assumptions, market conditions, regulations, or other circumstances require updated expert work.

• Applying professional judgment when integrating expert evidence into final audit conclusions, management communications, and governance reporting.

Module 16: Integrated Expert Evidence Audit Case Study

• Identifying areas requiring expert involvement within a complex financial statement audit and developing an appropriate specialist strategy.

• Evaluating the credentials, objectivity, methodology, assumptions, data, calculations, and conclusions of multiple hypothetical experts.

• Resolving conflicting specialist opinions and determining what additional procedures or evidence are required to support final audit conclusions.

• Preparing comprehensive audit documentation and presenting final conclusions demonstrating how expert evidence has been appropriately evaluated and integrated.

Training Approach

This course will be delivered by our skilled trainers who have vast knowledge and experience as expert professionals in the fields. The course is taught in English and through a mix of theory, practical activities, group discussion and case studies. Course manuals and additional training materials will be provided to the participants upon completion of the training.

Tailor-Made Course

This course can also be tailor-made to meet organization requirement. For further inquiries, please contact us on: Email: training@upskilldevelopment.com Tel: +254 721 331 808

Training Venue 

The training will be held at our Upskill Training Centre. We also offer training for a group (at a discount of 10% to 50%) at requested location all over the world. The Onsite course fee covers the course tuition, training materials, two break refreshments, buffet lunch, airport transfers, Upskill gift package, and guided tour.

Visa application, travel expenses, dinners, accommodation, insurance, and other personal expenses are catered by the participant

Certification

Participants will be issued with Upskill certificate upon completion of this course.

Airport Pickup and Accommodation

Airport pickup and accommodation is arranged upon request. For booking contact our Training Coordinator through Email: training@upskilldevelopment.com, +254 721 331 808

Terms of Payment:

Unless otherwise agreed between the two parties’ payment of the course fee should be done 3 working days before commencement of the training so as to enable us to prepare better.