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Communication with those charged with governance

 

Communication with Those charged with governance
注册会计师与治理层沟通



Matters to Be Communicated

沟通的事项


The auditor's responsibilities in relation to the financial statement audit

Planned scope and timing of the audit

Significant findings from the audit

Auditor independence


Planned scope and timing of the audit

计划的审计范围和时间安排


Matters communicated may include:

How the auditor plans to address the significant risks of material misstatement, whether due to fraud or error.

How the auditor plans to address areas of higher assessed risk of material misstatement.

The auditor's approach to internal control relevant to the audit.

The application of the concept of materiality in the context of an audit.

The nature and extent of specialized skill or knowledge needed to perform the planned audit procedures or evaluate the audit results, including the use of an auditor's expert.

When ISA 701 applies, the auditor's preliminary views about matters that may be areas of significant auditor attention in the audit and therefore may be key audit matters.

The auditor's planned approach to addressing the implications on the individual statements and the disclosures of any significant changes within the applicable financial reporting framework or in the entity's environment, financial condition or activities.


Other planning matters that it may be appropriate to discuss with those charged with governance include:

Where the entity has an internal audit function, how the external auditor and internal auditors can work together in a constructive and complementary manner, including any planned use of the work of the internal audit function, and the nature and extent of any planned use of internal auditors to provide direct assistance.

The attitude, awareness, and actions of those charged with governance concerning (a) the entity's internal control and its importance in the entity, including how those charged with governance oversee the effectiveness of internal control and (b) the detection or possibility of fraud.

The actions of those charged with governance in response to developments in accounting standards, corporate governance practices, exchange listing rules, and related matters, and the effect of such developments on, for example, the overall presentation, structure and content of the financial statements, including:

The relevance, reliability, comparability and understandability of the information presented in the financial statements;

Considering whether the financial statements are undermined by the inclusion of information that is not relevant or that obscures a proper understanding of the matters disclosed.



Significant difficulties encountered during the audit

Significant difficulties encountered during the audit may include such matters as:

Significant delays by management, the unavailability of entity personnel, or an unwillingness by management to provide information necessary for the auditor to perform the auditor's procedures.

An unreasonably brief time within which to complete the audit.

Extensive unexpected effort required to obtain sufficient appropriate audit evidence.

The unavailability of expected information.

Restrictions imposed on the auditor by management.

Management's unwillingness to make or extend its assessment of the entity's ability to continue as a going concern when requested.


Circumstances that affect the form and content of the auditor's report

Circumstances in which the auditor is required or may otherwise consider it necessary to include additional information in the auditor's report in accordance with the ISAs, and for which communication with those charged with governance is required, include when:

The auditor expects to modify the opinion in the auditor's report in accordance with ISA 705 (Revised).

A material uncertainty related to going concern is reported in accordance with ISA 570 (Revised).

Key audit matters are communicated in accordance with ISA 701.

The auditor considers it necessary to include an Emphasis of Matter paragraph or Other Matter paragraph in accordance with ISA 706 (Revised) or is required to do so by other ISAs.

The auditor has concluded that there is an uncorrected material misstatement of the other information in accordance with ISA 720 (Revised)


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