> For the complete documentation index, see [llms.txt](https://finspectors.gitbook.io/finspectors-documentation/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://finspectors.gitbook.io/finspectors-documentation/audit-modules-auditor-view/planning/risk-assessment.md). # Risk Assessment ## **Overview** The Risk Assessment module helps auditors identify areas that require deeper audit attention. The process combines: * Auditor inputs * Risk rules * AI-based transaction analysis The final output is an **Assessed Risk** level for each FSLI and transaction. This assessed risk is derived using: * Inherent Risk * Control Reliance * Risk Rule Results *** ## **Step-by-Step: Risk Assessment** *** ### **Step 1: Input** Navigate to:\ **Engagement → Planning → Risk Assessment** At the FSLI level, auditors provide: * **Inherent Risk** * **Control Reliance** #### **Inherent Risk** By default, the system suggests an inherent risk level for each FSLI.\ Auditors can review and modify this based on professional judgment. #### **Control Reliance** Auditors specify the level of reliance they plan to place on controls. This establishes the starting point for risk evaluation. *** ### **Step 2: Configure Risk Rules** The next step is configuring the risk rules used during analysis. #### **What happens here** * Enable or disable specific risk rules * Edit thresholds or logic where customization is allowed * Review rule descriptions and applicability #### **Examples of risk rules** * High monetary value * Duplicate transactions * Last 3 digits * Weekend postings * Split transactions * Large vendor concentration Once configuration is complete, click **Run Validation**. *** ### **Step 3: Review Results & Submit** Fins AI Brain processes the uploaded data and generates results across two views: *** #### **1. FSLI Table** Displays: * Risk Rule Result * Inherent Risk * Control Reliance * Final Assessed Risk Auditors can review and modify the assessed risk if required. *** #### **2. Transactions Table** Shows transaction-level analysis including: * Triggered risk rules * Risk levels * Transaction summaries * AI-generated observations This helps auditors drill into specific entries contributing to risk. *** #### **Final Action** * Review the generated results * Make any required adjustments * Click **Submit** to finalize the risk assessment *** ## **Post-Submission Views** Once submitted, the following views become available: *** ### **1. Dashboard** Provides overall risk summaries and analytics, including: * High / Medium / Low risk distribution * Risk trends * Top triggered risk rules * Segment-wise risk breakdowns This gives auditors a high-level view of engagement risk. *** ### **2. FSLI Table** Displays finalized FSLI-level assessed risk. Includes: * Inherent Risk * Control Reliance * Risk Rule Result * Final Assessed Risk * Supporting descriptions Useful for scoping and audit planning decisions. *** ### **3. Transactions Table** Provides detailed transaction-level analysis. Includes: * Triggered risk rules * Transaction risk levels * Hit counts * Rule summaries * Search and filter options This helps auditors identify and investigate unusual transactions efficiently. *** ## **How Assessed Risk is Calculated** The final **Assessed Risk** is derived by combining: * Inherent Risk * Control Reliance * Risk Rule Results generated by the system This creates a balanced risk view combining auditor judgment with data-driven analysis. {% embed url="" %}