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Main Features

This Auditing Standard establishes requirements and provides application and other explanatory material regarding the auditor’s responsibilities relating to other information in documents containing an audited financial report and the auditor’s report thereon.

This Auditing Standard:

1. requires the auditor to read the other information to identify material inconsistencies, if any, with the audited financial report;
2. requires the auditor to make appropriate arrangements with management to obtain the other information prior to the date of the auditor’s report;
3. requires the auditor to determine whether the audited financial report or the other information needs to be revised when material inconsistencies are identified; and
4. describes the auditor’s responsibilities when material inconsistencies are identified.

AUTHORITY STATEMENT

The Auditing and Assurance Standards Board (AUASB) makes this Auditing Standard ASA 720 The Auditor's Responsibilities Relating to Other Information in Documents Containing an Audited Financial Report pursuant to section 227B of the Australian Securities and Investments Commission Act 2001 and section 336 of the Corporations Act 2001.

This Auditing Standard is to be read in conjunction with ASA 101 Preamble to Australian Auditing Standards, which sets out the intentions of the AUASB on how the Australian Auditing Standards, operative for financial reporting periods commencing on or after 1 January 2010, are to be understood, interpreted and applied. This Auditing Standard is to be read also in conjunction with ASA 200 Overall Objectives of the Independent Auditor and the Conduct of an Audit in Accordance with Australian Auditing Standards.

Dated: 27 October 2009 M H Kelsall
Chairman - AUASB