Auditing Standard on Review Engagements ASRE 2410 Review of a Financial Report Performed by the Independent Auditor of the Entity (June 2020)
EXAMPLE C — AUDITOR’S REVIEW REPORT WITHEXAMPLE C — AUDITOR’S REVIEW REPORT WITH A QUALIFIED CONCLUSION FOR A LIMITATION ON SCOPE NOT IMPOSED BY MANAGEMENT — FAIR PRESENTATION framework
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EXAMPLE C – AUDITOR’S REVIEW REPORT WITH A QUALIFIED CONCLUSION FOR A LIMITATION ON SCOPE NOT IMPOSED BY MANAGEMENT – FAIR PRESENTATION framework
INDEPENDENT AUDITOR’S REVIEW REPORT
To [appropriate addressee]
Report on the [appropriate title for the financial report] Financial Report[47]
Qualified Conclusion
We have reviewed the [period] financial report of [name of entity], which comprises the statement of financial position as at [date], the statement of comprehensive income, statement of changes in equity and statement of cash flows for the year then ended, a summary of significant accounting policies[48] and other explanatory information, and [the declaration by those charged with governance[49]].[50],[51]
Based on our review, which is not an audit, except for the possible effects of the matter described in the Basis for Qualified Conclusion section, nothing has come to our attention that causes us to believe that the accompanying [period] financial report of [name of entity] does not present fairly, in all material respects, [or “give a true and fair view of”[52]] the financial position of the [entity] as at [date], and of its financial performance and its cash flows for the [period] period ended on that date, in accordance with [applicable financial reporting framework].
Basis for Qualified Conclusion
As a result of a fire in a branch office on [date] that destroyed its accounts receivable records, we were unable to complete our review of accounts receivable totalling $_______ included in the [period] financial report. The [entity] is in the process of reconstructing these records and is uncertain as to whether these records will support the amount shown above and the related allowance for uncollectible accounts. We consider the possible effects incapable of reliable measurement at this time. Had we been able to complete our review of accounts receivable, matters might have come to our attention indicating that adjustments might be necessary to the [period] financial report.
We conducted our review in accordance with ASRE 2410 Review of Financial Report Performance by the Independent Auditor of the Entity. Our responsibilities are further described in the Auditor’s Responsibilities for the Review of the Financial Report section of our report. We are independent of the [entity] in accordance with the ethical requirements of the Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (including Independence Standards) (the Code) that are relevant to our audit of the annual financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code.