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HI6026 Audit Assurance And Compliance

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Question:

Based on your analysis of the auditors’ sections and other areas pertaining to the auditor, as included within the Annual Report, submit a report which summarises and evaluates the auditor’s assurance services performed for the client company. As part of your review of the assurance services provided, consider the following:

  • Has the auditor complied with Independence requirements?
  • If there were non-audit services provided, what was the nature of such services?
  • Provide an analysis of the Auditor’s remuneration in a table with prior year comparisons. Include percentage changes and explanations of the remuneration.
  • In relation to the key audit matters, which audit procedures were performed to provide assurance over each matter? Summarise and paraphrase each key audit matter. Correctly classify each audit procedure listed as: tests of controls, substantive tests of detail, substantive test of balances or analytical procedures.
  • Is there an Audit committee? Are there any non-executive directors on the audit committee? Is there an Audit Committee Charter? If so, summarise the main points of the charter including: the structure, function and responsibilities of the Audit Committee.
  • What type of Audit Opinion was expressed?
  • How do the Directors’ and Management’s responsibilities differ from the Auditor’s responsibilities in relation to the financial report?
  • Were there any material subsequent events? If so, briefly outline them and paraphrase and summarise how they were treated.
  • As an interested third party stakeholder, make an assessment of the effectiveness of the material information reported by the Auditor in your conclusion.
  • Consider whether there is any material information which could be missing, under-reported and/or not fully explained or disclosed in an effective way for the intended users?
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