121 paragraphs found
The concept of significant auditor attention recognises that an audit is risk‑based and focuses on identifying and assessing the risks of material misstatement of the financial report, designing and performing audit procedures responsive to those risks, …
Accordingly, matters that pose challenges to the auditor in obtaining sufficient appropriate audit evidence or pose challenges to the auditor in forming an opinion on the financial report may be particularly relevant in the auditor’s determination of key …
Areas of significant auditor attention often relate to areas of complexity and significant management judgement in the financial report, and therefore often involve difficult or complex auditor judgements. In turn, this often affects the auditor’s …
Various Australian Auditing Standards require specific communications with those charged with governance and others that may relate to areas of significant auditor attention. For example: ASA 260 requires the auditor to communicate significant …
The auditor may develop a preliminary view at the planning stage about matters that are likely to be areas of significant auditor attention in the audit and therefore may be key audit matters. The auditor may communicate this with those charged with …
Paragraph 9 includes specific required considerations in the auditor’s determination of those matters that required significant auditor attention. These considerations focus on the nature of matters communicated with those charged with governance that …
In addition to matters that relate to the specific required considerations in paragraph 9 , there may be other matters communicated with those charged with governance that required significant auditor attention and that therefore may be determined to be …
ASA 260 requires the auditor to communicate with those charged with governance about the significant risks identified by the auditor. [23] Paragraph A13 of ASA 260 explains that the auditor may also communicate with those charged with governance about …
ASA 315 defines a significant risk as an identified risk of material misstatement for which the assessment of inherent risk is close to the upper end of the spectrum of inherent risk due to the degree to which the inherent risk factors affect the …
However, this may not be the case for all significant risks. For example, ASA 240 presumes that there are risks of fraud in revenue recognition and requires the auditor to treat those assessed risks of material misstatement due to fraud as significant …