When the auditor determines that management has not taken appropriate steps to understand and address estimation uncertainty, additional procedures that the auditor may request management to perform to understand estimation uncertainty may include, for …

In considering whether it is practicable to develop a point estimate or range, matters the auditor may need to take into account include whether the auditor could do so without compromising independence requirements. This may include relevant ethical …

Discussion of Disclosures in the Applicable Financial Reporting Framework …

If, after considering management’s response, the auditor determines that it is not practicable to develop an auditor’s point estimate or range, the auditor is required to evaluate the implications for the audit or the auditor’s opinion on the financial …

Developing an Auditor’s Point Estimate or Using an Auditor’s Range (Ref: Para.  28–29 ) …

Developing an auditor’s point estimate or range to evaluate management’s point estimate and related disclosures about estimation uncertainty may be an appropriate approach when, for example: The auditor’s review of similar accounting estimates made in the …

The decision to develop a point estimate or range also may be influenced by the applicable financial reporting framework, which may prescribe the point estimate that is to be used after consideration of the alternative outcomes and assumptions, or …

The auditor’s decision as to whether to develop a point estimate rather than a range may depend on the nature of the estimate and the auditor’s judgement in the circumstances. For example, the nature of the estimate may be such that there is expected to …

The auditor may develop a point estimate or a range in a number of ways, for example, by: Using a different model than the one used by management, for example, one that is commercially available for use in a particular sector or industry, or a proprietary …

The auditor also may develop a point estimate or range for only part of the accounting estimate (for example, for a particular assumption, or when only a certain part of the accounting estimate is giving rise to the risk of material …