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Part COMPILATION DETAILS - Auditing Standard ASA 540 Auditing Accounting Estimates and Related Disclosures - COMPILATION DETAILS | Zoe
ISSN 1833-4393
CONTENTS
COMPILATION DETAILS
AUTHORITY STATEMENT
CONFORMITY WITH INTERNATIONAL STANDARDS ON AUDITING
Appendix 2: Communications with Those Charged with Governance
COMPILATION DETAILS
Auditing Standard ASA 540 Auditing Accounting Estimates and Related Disclosures (as Amended)
This compilation takes into account amendments made up to and including 5 November 2021 and was prepared on 31 March 2022 by the Auditing and Assurance Standards Board (AUASB).
This compilation is not a separate Auditing Standard made by the AUASB. Instead, it is a representation of ASA 540 (December 2018) as amended by other Auditing Standards which are listed in the Table below.
Table of Standards
Standard
Date made
Operative Date
ASA 540 [A]
5 December 2018
Financial reporting periods commencing on or after 15 December 2019[*]
ASA 2020-1 [B]
3 March 2020
Financial reporting periods commencing on or after 15 December 2021[#]
ASA 2021-5 [C]
5 November 2021
Financial reporting periods commencing on or after 15 December 2021
ASA 2021-1 [D]
10 March 2021
Financial reporting periods commencing on or after 15 December 2022
[A] Federal Register of Legislation – registration number F2019L00014, 3 January 2019
[B] Federal Register of Legislation – registration number F2020L00252, 13 March 2020
[C] Federal Register of Legislation – registration number F2021L01525, 8 November 2021
[D] Federal Register of Legislation – registration number F2021L00403, 1 April 2021
Table of Amendments
Paragraph affected
How affected
By … [paragraph]
4
Amended
ASA 2020-1 [137]
4Footnote 5
Addition
ASA 2020-1 [137 and 138]
5
Amended
ASA 2020-1 [139]
6
Amended
ASA 2020-1 [140]
6Footnote 6
Deleted
ASA 2020-1 [140]
8
Amended
ASA 2020-1 [141]
13 and Footnote 9
Amended
ASA 2020-1 [142]
16 and Footnote 11
Amended
ASA 2020-1 [143]
17 and Footnotes 12 and 13
Amended
ASA 2020-1 [144]
17Footnote 14
Addition
ASA 2020-1 [144]
19
Amended
ASA 2020-1 [145]
A8
Amended
ASA 2020-1 [146]
A8Footnote 33
Addition
ASA 2020-1 [146]
A9
Amended
ASA 2020-1 [147]
A9Footnote 34
Addition
ASA 2020-1 [147]
A10
Amended
ASA 2020-1 [148]
Sub-heading under section heading “Risk Assessment Procedures and Related Activities”
Amended
ASA 2020-1 [149]
A19
Amended
ASA 2020-1 [150]
A20
Amended
ASA 2020-1 [151]
Sub-heading under section heading “The Entity and Its Environment”
Amended
ASA 2020-1 [152]
A24
Amended
ASA 2020-1 [153]
Sub-heading after paragraph A27
Amended
ASA 2020-1 [154]
A28 and Footnote 36
Amended
ASA 2020-1 [155]
A32
Amended
ASA 2020-1 [156]
A34
Amended
ASA 2020-1 [157]
A35 and Footnote 39
Amended
ASA 2020-1 [158]
A39
Amended
ASA 2020-1 [159]
A44
Amended
ASA 2020-1 [160]
Sub-heading before paragraph A50
Amended
ASA 2020-1 [161]
A50
Amended
ASA 2020-1 [162]
A51
Amended
ASA 2020-1 [163]
A52
Amended
ASA 2020-1 [164]
A53 and Footnote 41
Amended
ASA 2020-1 [165]
A54
Amended
ASA 2020-1 [166]
A59
Amended
ASA 2020-1 [167]
A60
Amended
ASA 2020-1 [168]
A65
Amended
ASA 2020-1 [169]
A65Footnote 46
Addition
ASA 2020-1 [169]
A66
Amended
ASA 2020-1 [170]
A66Footnote 48
Addition
ASA 2020-1 [170]
A68
Amended
ASA 2020-1 [171]
A70 and Footnote 49
Amended
ASA 2020-1 [172]
A79
Amended
ASA 2020-1 [173]
Sub-heading before paragraph A85
Amended
ASA 2020-1 [174]
A85
Amended
ASA 2020-1 [175]
Renumbering of footnotes
Amended
ASA 2020-1 [176]
A104Footnote 56
Amended
ASA 2020-1 [177]
A137Footnote 65
Amended
ASA 2020-1 [178]
A149Footnote 72
Amended
ASA 2020-1 [179]
4
Amended
ASA 2021-5 [22]
A61Footnote 39
Amended
ASA 2021-1 [89]
AUTHORITY STATEMENT
Auditing Standard ASA 540 Auditing Accounting Estimates and Related Disclosures (as amended to 5 November 2021) is set out in paragraphs Aus 0.1 to A152 and Appendices 1 to 2.
This Auditing Standard is to be read in conjunction with ASA 101 Preamble to AUASB Standards, which sets out how AUASB Standards 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.
Conformity with International Standards on Auditing
This Auditing Standard conforms with International Standard on Auditing ISA 540 Auditing Accounting Estimates and Related Disclosures issued by the International Auditing and Assurance Standards Board (IAASB), an independent standard‑setting board of the International Federation of Accountants (IFAC).
Paragraphs that have been added to this Auditing Standard (and do not appear in the text of the equivalent ISA) are identified with the prefix “Aus”.
This Auditing Standard incorporates terminology and definitions used in Australia.
The equivalent requirements and related application and other explanatory material included in ISA 540 in respect of “relevant ethical requirements”, have been included in Auditing Standard, ASA 102 Compliance with Ethical Requirements when Performing Audits, Reviews and Other Assurance Engagements. There is no international equivalent to ASA 102.
Compliance with this Auditing Standard enables compliance with ISA 540.