Responding When the Auditor Concludes ThResponding When the Auditor Concludes That a Material Misstatement of the Other Information Exists

Responding When the Auditor Concludes That a Material Misstatement of the Other Information Exists

1. If the auditor concludes that a material misstatement of the other information exists, the auditor shall request management to correct the other information. If management:
   1. Agrees to make the correction, the auditor shall determine that the correction has been made; or
   2. Refuses to make the correction, the auditor shall communicate the matter with those charged with governance and request that the correction be made.
2. If the auditor concludes that a material misstatement exists in other information obtained prior to the date of the auditor’s report, and the other information is not corrected after communicating with those charged with governance, the auditor shall take appropriate action, including: (Ref: Para. A44)
   1. Considering the implications for the auditor’s report and communicating with those charged with governance about how the auditor plans to address the material misstatement in the auditor’s report (see paragraph 22(e)(ii) of this Auditing Standard); or (Ref: Para. A45)
   2. Withdrawing from the engagement, where withdrawal is possible under applicable law or regulation. (Ref: Para. A46–A47)
3. If the auditor concludes that a material misstatement exists in other information obtained after the date of the auditor’s report, the auditor shall:
   1. If the other information is corrected, perform the procedures necessary in the circumstances; or (Ref: Para. A48)
   2. If the other information is not corrected after communicating with those charged with governance, take appropriate action considering the auditor’s legal rights and obligations, to seek to have the uncorrected material misstatement appropriately brought to the attention of users for whom the auditor’s report is prepared. (Ref: Para. A49–Aus A50.1)