Account balance - Inherent risk
At account balance / class of transaction level
- Balances susceptible to misstatement.
- History of errors.
- Complexity of transactions.
- Degree of judgement involved in determining account balances.
- Susceptibility of assets to loss or misappropriation.
- The quality of accounting systems.
- Unusual or complex transactions at year end.
- Transactions not subject to normal processing.