clearly distinguish the financial statements covered by identifying them through their relevant page numbers.

##### Identification of the Title of Each Statement that Comprises the Financial Statements

N4. The introductory paragraph in the Opinion section of the auditor's report identifies by title each statement that comprises the complete set of financial statements that are the subject of the 16 audit.

A complete set of financial statements is identified by the applicable financial reporting 17 framework and may also include legal and regulatory requirements. For instance, the illustrative reports on financial statements, prepared in accordance with IFRS Accounting Standards as issued by the International Accounting Standards Board (IFRS Accounting Standards) and the IFRS for SMEs Accounting Standard as issued by the International Accounting Standards Board (IFRS for SMEs Accounting Standard), identify the statement of financial position as at the end of the period; the statement of profit or loss and other comprehensive income; changes in equity for the period and cash flows for the period; and notes to the financial statements, including material accounting policy information (where the financial reporting framework is IFRS Accounting Standards) or a summary of significant accounting policies (where the financial reporting framework is IFRS for SMEs Accounting Standard). Preparers may use different titles for the statements that make up the complete set of financial statements. The auditor's report states that the auditor has audited the financial statements of the entity, which comprise [state the title of each financial statement comprising the complete set of financial statements required by the applicable financial reporting framework, specifying the date or period covered by each financial statement] and notes to the financial statements, 18 including a summary of significant accounting policies . It is therefore important that the titles used by the auditor in the Opinion section conform to those applied by the preparer. For example, the audit report should not refer to a 'statement of financial position' when the financial statements refer to it as a 'balance sheet'. Similarly, the audit report should not refer to 'material accounting policy information' if the financial statements refer to ' material accounting policy and other explanatory information'. The same principle also applies to 'Other information' in [N8] accordance with ISA 720 (Revised) .

When an entity applies an accounting policy retrospectively or makes a retrospective restatement of items in its financial statements, or when it reclassifies items in its financial statements (as required by IFRS Accounting Standards, when applicable), the additional statement of financial position provided to address the restatement of information for the comparative period forms part of the comparative information. Therefore, it does not need to be separately identified in the introductory paragraph in th e Opinion section of the auditor's report .

The annual financial statements of South African companies comprise a complete set of financial statements identified in accordance with the applicable financial reporting framework and the 19 disclosure requirements of the Companies Act of South Africa. A directors' report , however, is not identified as forming part of a complete set of financial statements under the disclosure