Auditing Standard ASA 240 The Auditor's Responsibilities Relating to Fraud in an Audit of a Financial Report (October 2025)
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CONTENTS
PREFACE
AUTHORITY STATEMENT
CONFORMITY WITH INTERNATIONAL STANDARDS ON AUDITING
Paragraphs
Application......................................................Aus 0.1-Aus 0.2
Operative Date.........................................................Aus 0.3
Introduction
Scope of this Auditing Standard..................................................1
Responsibilities of the Auditor, Management and Those Charged with Governance............2-3
Key Concepts in this ASA....................................................4-14
Relationship with Other ASAs...................................................15
Effective Date..............................................................16
Objectives.................................................................17
Definitions................................................................18
Requirements
Professional Scepticism.....................................................19-22
Engagement Resources........................................................23
Engagement Performance......................................................24
Ongoing Nature of Communications with Management and Those Charged with Governance.....25
Risk Assessment Procedures and Related Activities.................................26-30
Obtaining an Understanding of the Entity and Its Environment, the Applicable Financial Reporting Framework and the Entity’s System of Internal Control 31-37
Evaluation of Fraud Risk Factors.................................................38
Identifying and Assessing the Risks of Material Misstatement due to Fraud................39-41
Responses to the Assessed Risks of Material Misstatement Due to Fraud..................42-53
Overall Evaluation Based on Audit Procedures Performed...............................54
Fraud or Suspected Fraud....................................................55-58
Auditor Unable to Continue the Audit Engagement....................................59
Auditor’s Report..........................................................60-62
Written Representations.......................................................63
Communications with Management and Those Charged with Governance.................64-66
Reporting to an Appropriate Authority Outside the Entity...............................67
Documentation..............................................................68