Page 199 - AAA Integrated Workbook STUDENT S18-J19

Reporting

6.3 Matters to be communicated

 Auditor's responsibilities in relation to the audit.

 Planned scope and timing of the audit.

– An unreasonably brief time within which to complete the audit.

– Any other matters agreed upon in the terms of the audit engagement.

– Expected limitations on the audit, either imposed by management or other
circumstances.

– The potential effect on the financial statements of any material risks and
exposures, such as pending litigation, that are required to be disclosed in
the financial statements.

 Significant findings from the audit:

– Auditor's views about qualitative aspects of the entity's accounting
practices, policies, estimates and disclosures.

– Significant difficulties encountered during the audit, e.g. unavailability of
expected information, delays obtaining information.

– Significant matters discussed with management.

– Written representations requested.

– A summary of identified misstatements, whether corrected or not by the
entity and a request that they are adjusted.

– Circumstances that affect the form and content of the auditor's report, if
any including any expected modifications to the auditor's report and key
audit matters to be communicated in accordance with ISA 701
Communicating Key Audit Matters in the Independent Auditor’s Report.

– Other matters arising significant to the oversight of the reporting process.

– Material uncertainties related to events and conditions that may cast
significant doubt on the entity’s ability to continue as a going concern.

 Auditor independence.

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