34 paragraphs found
To audit equity accounting adjustments, relevant information about an associate is required for the auditor to obtain sufficient appropriate audit evidence to be able to draw reasonable conclusions. AASB 128 requires the investor to use the most recent …
Using materiality and knowledge of internal controls, the auditor assesses the risk attached to these adjustments. …
In some cases unaudited financial information is provided by the associate for equity accounting purposes. Unaudited financial reports or other information and data provide evidential matter which is not of itself sufficient appropriate audit evidence for …
Evidence pertaining to the application of the equity method may be available in the following forms: Audited Financial Reports Financial reports of an associate available to the equity holders of that associate generally constitute sufficient appropriate …
Where a time lag exists between the balance date of an associate and that of the investor, the auditor ascertains the procedures by which those charged with governance of the investor have attempted to make themselves aware of any significant events or …
In the event of the investor auditor being informed of, or becoming aware of, any significant events or transactions of an associate occurring during the period between balance dates and the date on which the auditor signs the auditor’s report on the …
The auditor’s opinion is on the investor’s financial report which includes the equity accounting adjustments. The auditor’s report is prepared in accordance with ASA 700 Forming an Opinion and Reporting on a Financial Report and where appropriate, ASA 800 …
In those cases where the auditor of the investor is unable to obtain sufficient appropriate audit evidence, there may be a limitation on the scope of the audit. In such cases, the auditor complies with the requirements in ASA 705 Modifications to the …
Where a significant uncertainty about the associate exists, the resolution of which may materially affect the financial report, the auditor complies with the requirements in ASA 706 Emphasis of Matter Paragraphs and Other Matter Paragraphs in the …
In a review of a financial report the auditor or the assurance practitioner makes enquiries and performs analytical and other review procedures to enable the auditor to conclude whether, on the basis of the procedures performed, anything has come to the …