How to Write Audit Procedures - CPA Canada

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Stop losing easy marks on your CPA PEP and CFE exams! In this video, we break down the ultimate Assurance Playbook to help you transition from writing weak, vague procedures to drafting high-scoring, expert-level audit steps. Whether you are tackling Core 2, the Assurance Elective, or the CFE, mastering the W-A-O Formula is the secret to moving from a "Not Addressed" or "Nominal" to a clear "Competent" (C). Kalos Tax and Bookkeeping - Email them at kalos.tax.bookkeeping.com ⏱️ Video Timestamps 0:00 - Introduction: Stop Writing Bad Procedures 1:00 - The Paradigm Shift: Grader vs. Auditor Mindset 2:06 - The W-A-O Formula Demystified (What, Action, Object) 3:22 - The 7 Audit Verbs: Pick One, Never Commit! 4:26 - The Auditor's Toolkit Matrix 6:28 - Example 1 7:39 - Example 2 8:30 - Example 3 9:24 - Analytical Procedures: Moving Beyond Basic Math 10:48 - 3 Ways to Earn Easy Marks on Your Exam 12:28 - Thanks 💡 Key Takeaways from This Video: 1️⃣ The W-A-O Formula: Every bulletproof procedure needs a What (the risk/objective), an Action (the specific audit verb), and an Object (the source document or population). 2️⃣ Specific Verbs Matter: Learn why vague terms like "Check," "Review," or "Look into" will cost you marks, and how to replace them with powerful verbs like Inspect, Recalculate, Vouch, or Confirm. 3️⃣ Source Documents: Always specify what you are looking at (e.g., shipping documents, vendor invoices, sales orders) to prove your procedure is actionable.

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How to Write Audit Procedures - CPA Canada

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Stop losing easy marks on your CPA PEP and CFE exams! In this video, we break down the ultimate Assurance Playbook to help you transition from writing weak, vague procedures to drafting high-scoring, expert-level audit steps. Whether you are tackling Core 2, the Assurance Elective, or the CFE, mastering the W-A-O Formula is the secret to moving from a "Not Addressed" or "Nominal" to a clear "Competent" (C). Kalos Tax and Bookkeeping - Email them at kalos.tax.bookkeeping.com ⏱️ Video Timestamps 0:00 - Introduction: Stop Writing Bad Procedures 1:00 - The Paradigm Shift: Grader vs. Auditor Mindset 2:06 - The W-A-O Formula Demystified (What, Action, Object) 3:22 - The 7 Audit Verbs: Pick One, Never Commit! 4:26 - The Auditor's Toolkit Matrix 6:28 - Example 1 7:39 - Example 2 8:30 - Example 3 9:24 - Analytical Procedures: Moving Beyond Basic Math 10:48 - 3 Ways to Earn Easy Marks on Your Exam 12:28 - Thanks 💡 Key Takeaways from This Video: 1️⃣ The W-A-O Formula: Every bulletproof procedure needs a What (the risk/objective), an Action (the specific audit verb), and an Object (the source document or population). 2️⃣ Specific Verbs Matter: Learn why vague terms like "Check," "Review," or "Look into" will cost you marks, and how to replace them with powerful verbs like Inspect, Recalculate, Vouch, or Confirm. 3️⃣ Source Documents: Always specify what you are looking at (e.g., shipping documents, vendor invoices, sales orders) to prove your procedure is actionable.

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Last Updated: May 23, 2026

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