Audit AssistantRelevant or not? When it comes to auditing estimates and related disclosures it is understandable to think that a new standard may not as relevant to small and medium practices. However, there are so many types of accounting estimates, to name a few: Bad debts Inventory obsolescence Depreciation the fair value of financial assets or […]
Read moreThis is our theme for 2020. We want to proactively assist our users to become more equipped, skilled, efficient and profitable. Here are some ideas: Have us assess your practice We often find that firms that are struggling with their documentation and staying current benefit hugely by having us look through the kind of work they […]
Read moreTo help our users prepare for their next review – to get the proverbial ducks in a row – I requested the CAANZ NZ auditor oversight team to provide a list of the main issues encountered in their review work with audit firms. They were kind enough to send me notes from a recent presentation […]
Read moreFollowing on from our previous article regarding the Audit of Less Complex Entities (LCEs), we spoke to a number of our user firms and, along with 78 others stakeholders globally, responded to the IAASB request for submissions. The LCE discussion has tended to focus on smaller for-profit entities that make a direct economic contribution, but in New Zealand the […]
Read moreIn recent decades the creep in complexity in the International Auditing Standards (ISAs) has made it difficult for auditors to do appropriate and cost-effective audit work for their SME clients. Using the full might of the ISAs on something like the local bowling club is a bit like using a rocket launcher to kill a […]
Read moreAs I’m reviewing audit files I like to feel as if I’m reading a thriller, or at least a mystery story. The introduction sets the scene, including the characters and their world. Then we start to see the stakes – what is at risk? What do the characters want? What dangers are there that our […]
Read moreAnyone who has been audited or who carries out audits know that there has been significant creep in requirements and subsequently costs over the least decade or so. This has made the other alternative – the Review Engagement – an alternative worth considering. What is a Review Engagement? It is a high-level assessment of financial statements by […]
Read moreWhat is the issue here? When a casual reader reads an audit report they expect to see a phrase that says something like “true and fair” or the more recent “fairly presented”. These are the words that indicate a “clean” report – so no need to read all the other boring detail! The problem is […]
Read moreWhat is EER? The IAASB says: …EER refers to emerging forms of external reporting by entities that increasingly provide non-financial information that goes beyond the traditional (financial statement) focus on the entity’s financial position, financial performance and impact on its financial resources. More and more entities are broadening out on what they report in their annual […]
Read moreJust the facts! As the name suggests, Agreed Upon Procedures (AUP) engagements are a type of assurance engagement that focusses on factual findings, and as such is probably the simplest form of assurance. The practitioner is asked to verify a question of fact, and their work simply answers that question. The International Federation of Accountants […]
Read more