158 paragraphs found
Acceptance by the requesting parties of the draft comfort letter (and subsequently by acceptance of the comfort letter in final form) is an indication to the auditor that the requesting parties consider the procedures described to be sufficient for the …
The following is an example of a paragraph that may be placed in the draft letter for identification and explanation of its purposes and limitations: (Ref: Para. 19 ) “This draft is provided solely for the purpose of indicating the form of letter that we …
If the auditor has not had any discussions with the requesting parties about the procedures required to be performed by the requesting parties, the second sentence in this paragraph would be revised as follows: “In the absence of any discussions with [ …
Situations may exist in which more than one auditor is involved in the audit of the financial statements of an entity and in which the reports of more than one auditor appear in the offering document. This is ordinarily the case when the entity is …
Any change in agreed terms proposed by the responsible party of the entity during the engagement needs to be appropriately justified to the auditor’s satisfaction before the auditor agrees to such a change. Examples of when requests from the entity may …
It is important that all changes agreed to by the entity, the requesting parties and the auditor be documented and approved in writing to ensure there is no misunderstanding of what has been agreed . (Ref: Para. 23 …
Comfort letter engagements ordinarily require the following procedures be performed by the auditor: (Ref: Para. 25 ) procedures specified by the requesting parties on unaudited interim financial information; and procedures specified by the requesting …
Comments included in the letter will often be related to: (Ref: Para. 26 ) Unaudited interim financial information. Pro forma financial information. Tables, statistics and other financial information. Subsequent changes in other specified financial …
The procedures performed with respect to interim periods may not disclose subsequent changes in the specified financial statement items, inconsistencies in the application of the applicable financial reporting framework, instances of non-compliance as to …
The auditor is not allowed to make a general statement in the comfort letter to the effect that “nothing else has come to the auditor’s attention that would be of interest to the requesting parties” because there is no way for the auditor to anticipate …