Audit AssistantFor periods beginning on or after 15 Dec 2023 (effectively year ended 31 December 2024) there is a new standard for Group Audits. Early adoption is permitted, so we have proactively updated relevant templates for the new standard. What has changed? The problem with group audits is that often we are comparing apples with oranges. […]
Read moreThe XRB recently announced a draft standard to be used where Service Performance Information (SPI) is included in a Review Engagement. This is a welcome move, as practitioners have been largely left to their own devices in these cases, with a little help from EG Au9. The exposure draft was released in April 2024. The […]
Read moreFor accounting periods that end on or after 28 March 2024, the threshold levels for not-for-profit entities have changed. Let’s review New Zealand’s reporting landscape while considering the changes. A variety of reporting levels Think of the reporting framework as a tree with two main branches – Public Benefit Entities (PBEs) and For-Profit Entities (FPEs). […]
Read moreMany firms using Audit Assistant also have specific document management systems for their wider document management and cloud storage requirements. Users have asked us what we support, and what we suggest that they use. A recent survey of our users found an almost even split of Microsoft SharePoint, Google Workspace, FYI, Dropbox and OneDrive, with […]
Read moreIf you are preparing engagement letters for assurance engagements, there are some changes of which you should be aware. These are contained in PS 3: Terms of Engagement, issued by CAANZ. This applies to professional services entered into after 1 January 2024 (early adoption permitted). What is different about the new standard to what auditors […]
Read moreMany audit firms have their own internal policies and methodologies for setting materiality. However many of our smaller firms struggle with a consistent approach. What is best practice? ISA 320 (para 2) describes materiality as follows: “Misstatements, including omissions, are considered to be material if they, individually or in the aggregate, could reasonably be expected […]
Read moreFor those who prepare and audit financial statements for “small” (under $5m expenditure) charities and other not-for-profits, there are some important changes coming up. In New Zealand, these smaller entities are very common – there are about 30,000 of them including some soon to be included in this reporting under the Incorporated Societies Act 2022. […]
Read moreI have good news and bad news. The good news is that the new standard for the audit of service performance (NZ AS1 (Revised)) is actually much simpler than the original standard released three years ago. The bad news is the shambles created by rushing through the original standard without proper consultation, deferring it twice, […]
Read moreSo we have a typical small not for profit: poor division of duties, no real controls apart from two signatories for payments, a review of financial results at irregular board meetings, and the annual Performance Report prepared by external accountants.
Read moreSo, you are preparing financial statements for a Tier 3 charity – or auditing them – and the board have come up with the bright idea that they will use a revalued amount for land and buildings. The financial position will look better, so funders and members will feel that the entity is secure. What […]
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