Audit ReportingAudit Reporting

Audit Reporting

Corresponding Figures

1. When corresponding figures are presented, the auditor’s opinion shall not refer to the corresponding figures except in the circumstances described in paragraphs 11, 12, and 14 of this Auditing Standard. (Ref: Para. A2)
2. If the auditor’s report on the prior period, as previously issued, included a qualified opinion, a disclaimer of opinion, or an adverse opinion and the matter which gave rise to the modification is unresolved, the auditor shall modify the auditor’s opinion on the current period’s financial report. In the Basis for Modification paragraph in the auditor’s report, the auditor shall either:
   1. Refer to both the current period’s figures and the corresponding figures in the description of the matter giving rise to the modification when the effects or possible effects of the matter on the current period’s figures are material; or
   2. In other cases, explain that the audit opinion has been modified because of the effects or possible effects of the unresolved matter on the comparability of the current period’s figures and the corresponding figures.(Ref: Para. A3‑A5)
3. If the auditor obtains audit evidence that a material misstatement exists in the prior period financial report on which an unmodified opinion has been previously issued, and the corresponding figures have not been properly restated or appropriate disclosures have not been made, the auditor shall express a qualified opinion or an adverse opinion in the auditor’s report on the current period financial report, modified with respect to the corresponding figures included therein. (Ref: Para. A6)

Prior Period Financial Report Audited by a Predecessor Auditor

1. If the financial report of the prior period was audited by a predecessor auditor and the auditor is not prohibited by law or regulation from referring to the predecessor auditor’s report on the corresponding figures and decides to do so, the auditor shall state in an Other Matter paragraph in the auditor’s report:
   1. That the financial report of the prior period was audited by the predecessor auditor;
   2. The type of opinion expressed by the predecessor auditor and, if the opinion was modified, the reasons therefore; and
   3. The date of that report. (Ref: Para. A7)

Prior Period Financial Report Not Audited

1. If the prior period financial report was not audited, the auditor shall state in an Other Matter paragraph in the auditor’s report that the corresponding figures are unaudited. Such a statement does not, however, relieve the auditor of the requirement to obtain sufficient appropriate audit evidence that the opening balances do not contain misstatements that materially affect the current period’s financial report. (Ref: Para. A8)