Information from the Auditor’s Previous Experience with the Entity and Previous Audits (Ref: Para. 16 ) Why information from previous audits is important to the current …

Matters that the auditor may consider in obtaining an understanding of how management selected the assumptions used in making the accounting estimates include, for example: The basis for management’s selection and the documentation supporting the …

With respect to fair value accounting estimates, assumptions vary in terms of the sources of the data and the basis for the judgements to support them, as follows: Those that reflect what marketplace participants would use in pricing an asset or …

Assumptions used in making an accounting estimate are referred to as significant assumptions in this Auditing Standard if a reasonable variation in the assumption would materially affect the measurement of the accounting estimate. A sensitivity analysis …

Inactive or illiquid markets …

When markets are inactive or illiquid, the auditor’s understanding of how management selects assumptions may include understanding whether management has: Implemented appropriate policies for adapting the application of the method in such circumstances. …

Data (Ref: Para.  13(h)(ii)(a)(iii) ) …

Matters that the auditor may consider in obtaining an understanding of how management selects the data on which the accounting estimates are based include: The nature and source of the data, including information obtained from an external information …

How management understands and addresses estimation uncertainty (Ref: Para.  13(h)(ii)(b)–13(h)(ii)(c) ) …

Matters that may be appropriate for the auditor to consider relating to whether and how management understands the degree of estimation uncertainty include, for example: Whether and, if so, how management identified alternative methods, significant …