The risk assessment underlies the entire audit process, which includes evaluating significant accounts and disclosures, relevant financial statement assertions, and identifying the highest- risk processes to address.

• Intuitive, color-coded matrix identifies in-scope processes and areas of potential risk.
• Inputs are measured and results quantified based on factors including:
• Volume of activity
• Degree of subjectivity
• Susceptibility to errors or fraud
• Overall materiality
• Quarter-over-quarter (QoverQ) volatility
• Complexity of each balance sheet, income statement and disclosure accounts