Illustration of an Auditor’s Report thatIllustration of an Auditor’s Report that Includes a Key Audit Matters Section, an Emphasis of Matter Paragraph, and an Other Matter Paragraph

Illustration of an Auditor’s Report that Includes a Key Audit Matters Section, an Emphasis of Matter Paragraph, and an Other Matter Paragraph

Example Auditor’s Report
Single Company—Corporations Act 2001
(Fair Presentation Framework)

[Aus] Illustration 1A:

For purposes of this illustrative auditor’s report, the following circumstances are assumed:

 Audit of a single listed company’s financial report using a fair presentation framework. The audit is not a group audit (i.e., ASA 600[*] does not apply).

 The financial report is prepared by the directors of the company in accordance with Australian Accounting Standards (a general purpose framework) and under the Corporations Act 2001.

 The terms of the audit engagement reflect the description of the directors’ responsibility for the financial report in ASA 210.

 The auditor has concluded an unmodified (i.e., “clean”) opinion is appropriate based on the audit evidence obtained.

 The relevant ethical requirements that apply to the audit are the Accounting Professional & Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (including Independence Standards).

 Based on the audit evidence obtained, the auditor has concluded that a material uncertainty does not exist related to events or conditions that may cast significant doubt on the company’s ability to continue as a going concern in accordance with ASA 570.

 Between the date of the financial report and the date of the auditor’s report, there was a fire in the company’s production facilities, which was disclosed by the company as a subsequent event. In the auditor’s judgement, the matter is of such importance that it is fundamental to users’ understanding of the financial report. The matter did not require significant auditor attention in the audit of the financial report in the current period.

 Key audit matters have been communicated in accordance with ASA 701.

 The auditor has obtained all of the other information prior to the date of the auditor’s report and has not identified a material misstatement of the other information.

 Corresponding figures are presented, and the prior period’s financial report was audited by a predecessor auditor. The auditor is not prohibited by law or regulation from referring to the predecessor auditor’s report on the corresponding figures and has decided to do so.

 In addition to the audit of the financial report, the auditor has other reporting responsibilities required under section 308(3C) of the Corporations Act 2001.

INDEPENDENT AUDITOR’S REPORT

[Appropriate Addressee]