Reporting on Other Information

Question 1

When issuing a report on a specific transaction the reporting CPA

Answer 1

should consult with the continuing CPA with regards to relevant matters.

If reporting CPA find it not necessary then they must disclose reasons why.

Question 2

If Auditor discovers a material deficiency in other information including F/S - AND Management refuses to do anything about it - the Auditor should consider

Answer 2

1) revising report to include “Other-matter paragraph
2) Withhold use of report
3) Withdrawing from the engagement