Surgent's Auditing Complex Investment Types (Audit Skills Training - Level 5) (A5M3)

Description

Entities may have more complex investments, such as non-readily marketable securities that trade in an inactive market or use unobservable inputs for fair value determination. This module discusses the key considerations when auditing common complex investment types.

Highlights

• The fair value measurement process, including non-readily marketable securities
• Auditing fair value measurement and disclosure, including alternative investments and complex derivatives
• Using a specialist for fair value determination, including Service Organization Control Report considerations
• Example accounting for complex derivatives, such as put options and embedded derivatives
• Fair value hierarchy considerations for disclosures related to non-readily marketable investments

Objectives

• Discuss types of non-readily marketable securities
• Describe fair value modeling techniques for Level 3 assets
• Explain the requirements when using the work of a specialist or Service Organization Control Reports in auditing investments
• Describe fair value presentation and disclosure for complex investments

Designed For

Accountants who account for or audit more complex or non-readily marketable securities