Circumstances in Which a Matter Determined to Be a Key Audit Matter Is Not Communicated in the Auditor’s Report …

The auditor shall describe each key audit matter in the auditor’s report unless: (Ref: Para. A53–A56 ) Law or regulation precludes public disclosure about the matter; or (Ref: Para. A52 ) In extremely rare circumstances, the auditor determines that the …

Interaction between Descriptions of Key Audit Matters and Other Elements Required to Be Included in the Auditor’s Report …

Considerations specific to smaller entities …

Controls in smaller entities are likely to be less formal and smaller entities may have no documented processes for dealing with related party relationships and transactions.  An owner‑manager may mitigate some of the risks arising from related party …

Authorisation and approval of significant transactions and arrangements (Ref: Para.  14(b) ) …

Authorisation involves the granting of permission by a party or parties with the appropriate authority (whether management, those charged with governance or the entity’s shareholders) for the entity to enter into specific transactions in accordance with …

Maintaining Alertness for Related Party Information When Reviewing Records or Documents  Records or Documents That the Auditor May Inspect (Ref: Para.  15 …

During the audit, the auditor may inspect records or documents that may provide information about related party relationships and transactions, for example:  Third‑party confirmations obtained by the auditor (in addition to bank and legal confirmations). …