Audit evidence
Documentation that supports the amounts and disclosures in the financial statements and enables the auditor to form a conclusion.
Definition
For lease accounting, audit evidence includes: the lease agreement itself, the lease term assessment, the discount rate calculation and rationale, the amortisation schedule, journal entries with traceability, and the statutory note. Auditors use this evidence to verify that the recognised amounts are materially correct and appropriately disclosed.
Why it matters
Lease accounting is one of the most evidence-intensive areas in a modern audit. The combination of judgement, calculation, and disclosure complexity means auditors expect a well-organised evidence pack.
In AuditLease
AuditLease is designed around audit-readiness. Calculations, judgements, journals, and disclosures are all held in one place with a traceable link between them.
Related terms
Put this into practice with AuditLease
AuditLease handles IFRS 16 and FRS 102 lease calculations, statutory note generation, journal entries, and audit evidence, so your team spends less time on spreadsheets and more time on judgements.
This definition is for general information only and is not accounting or legal advice. Definitions are based on IFRS 16, FRS 102, and associated guidance published by the IFRS Foundation and the Financial Reporting Council. Users should refer to the applicable accounting standards and their professional advisers for judgement-specific matters.