10 Reporting

Question 1

What are the elements of an unmodified audit report?

Answer 1

1. Title
2. Addressee
3. Auditors opinion
4. Basis for opinion
5. Key audit matters (if listed)
6. Other information
7. Responsibilities of management
8. Auditors responsibility
9. Other reporting responsibilities
10. Name of the engagement partner
11. Signature
12. Auditors address
13. Date

Question 2

What is included in other information?

Answer 2

Chairmans statement (management is responsible)

Question 3

If the statements are materially misstated and the error is material but not pervasive, how should this be treated?

Answer 3

Qualified opinion… except for…

Question 4

If the statements are materially misstated and the error is material and pervasive, how should this be treated?

Answer 4

Adverse opinion… do not present fairly

Question 5

If the auditor is unable to obtain sufficient appropriate audit evidence and it is material and pervasive, how should this be treated?

Answer 5

Qualified opinion… except for…

Question 6

If the auditor is unable to obtain sufficient appropriate audit evidence and it is material but not pervasive, how should this be treated?

Answer 6

Disclaimer of opinion…. we do not express an opinion

Question 7

When should a material uncertainty relating to going concern paragraph be included?

Answer 7

Included where the directors have made adequate disclosure of material uncertainties relating to going concern to draw the users attention to the disclosure.

Question 8

When should a emphasis of matter paragraph be included?

Answer 8

Included to draw the users attention to a note disclosed in the financial systems

Question 9

When should a other matters paragraph be included?

Answer 9

Included to draw the attention to other matters not related to FS