Section Introduction - ASA 620 - Using the Work of an Expert - April 2006 - Introduction

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Introduction

4 The purpose of this Auditing Standard is to establish mandatory requirements and provide explanatory guidance on using the work of an expert as audit evidence.

5 When using the work performed by an expert, the auditor shall obtain sufficient appropriate audit evidence that such work is adequate for the purposes of the audit.

6 “Expert” means a person or firm possessing special skill, knowledge and experience in a particular field other than accounting and auditing.

7 The auditor’s education and experience enable the auditor to be knowledgeable about business matters in general, but the auditor is not expected to have the expertise of a person trained for or qualified to engage in the practice of another profession or occupation, such as an actuary or engineer.

8 An expert may be:

(a) contracted by the entity;

(b) contracted by the auditor;

(d) employed by the auditor.

When the auditor uses the work of an expert employed by the audit firm, the auditor will be able to rely on the firm’s systems for recruitment and training that determine that expert’s capabilities and competence, as explained in ASA 220 Quality Control for Audits of Historical Financial Information, instead of needing to evaluate them for each audit engagement.

9 Although the auditor may use the work of an expert as audit evidence, under ASA 700 The Auditor’s Report on a General Purpose Financial Report, the auditor retains full responsibility for the audit opinion on the financial report.