risk-based audit

[/rɪsk beɪst ˈɔːdɪt/]
nounpl: risk-based audits
auditoria baseada em risco
1. An audit approach that prioritizes examination of areas with the highest potential for material misstatement or non-compliance, allocating audit resources according to assessed risk levels rather than examining all areas equally.
The company implemented a risk-based audit strategy to focus on high-risk transactions and processes.
A empresa implementou uma estratégia de auditoria baseada em risco para se concentrar em transações e processos de alto risco.
2. A systematic audit methodology that identifies, assesses, and prioritizes risks before determining the scope and nature of audit procedures.
Risk-based audit techniques have become standard practice in modern internal audit departments.
As técnicas de auditoria baseada em risco se tornaram prática padrão nos departamentos de auditoria interna moderna.
Risk-based auditing has become the international standard for both internal and external audits, promoted by major accounting bodies like AICPA (USA) and IAASB. In Brazil, this approach is increasingly mandated for audits of larger companies and financial institutions as part of SOX compliance and Central Bank regulations. It reflects a shift from traditional procedural audits to more strategic, efficiency-focused methodologies.
Synonyms / Sinônimos
risk-focused auditrisk-oriented auditrisk assessment audit
Antonyms / Antônimos
compliance auditsubstantive auditblanket audit

Regional Variations

General Brazilian
auditoria baseada em risco
Standard term used in Brazilian accounting and auditing contexts
São Paulo
auditoria orientada por risco
Alternative phrasing common in corporate audit departments
Portugal
auditoria baseada no risco
Portuguese variant with slightly different article usage
USA/International
risk-based audit
Standard English term in IAASB and AICPA standards

Related Words

audit riskrisk assessmentinternal auditexternal auditmaterialityaudit procedurescontrol environment

Related Idioms & Phrases

follow the risk trail
audit by risk profile
risk-driven audit approach
Look up more words on Fala2Me
The free English-Portuguese dictionary with real Brazilian accents, NYC slang, conjugator and more
Open Fala2Me →