Page 101 - F1 Integrated Workbook STUDENT 2018
P. 101
External audit
Duties of auditors
The primary duty of the auditor is to report to the shareholders of the entity on
whether or not the financial statements show a true and fair view and have been
prepared in accordance with the applicable reporting framework.
Auditors also have a duty to report by exception, which means they have a duty to
report any problems to shareholders. Again, their duties will vary from country to
country but typically they would report on any of the following matters which have not
been achieved.
R returns from branches have been received
A accounts are in agreement with underlying accounting records
P proper accounting records have been kept
I information and explanations have been received
D directors’ report is consistent with the financial statements
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