Document ID: chunk:federal_register_of_legislation:F2023C01137:body:0:p15
Version: federal_register_of_legislation:F2023C01137
Segment Type: other
Provision Reference: 
Character Range: 40954–44168

section in accordance with ASA 720 addressing the auditor's consideration of the consistency of the other information with the financial report.  Accordingly, paragraph 29 prohibits a Key Audit Matters section or an Other Information section from being included in the auditor's report when the auditor disclaims an opinion on the financial report, unless the auditor is otherwise required by law or regulation to communicate key audit matters or to report on other information.

Communication with Those Charged with Governance (Ref: Para. 30)

A27.         Communicating with those charged with governance the circumstances that lead to an expected modification to the auditor's opinion and the wording of the modification enables:

(a)                The auditor to give notice to those charged with governance of the intended modification(s) and the reasons (or circumstances) for the modification(s);

(b)                The auditor to seek the concurrence of those charged with governance regarding the facts of the matter(s) giving rise to the expected modification(s), or to confirm matters of disagreement with management as such; and

(c)                Those charged with governance to have an opportunity, where appropriate, to provide the auditor with further information and explanations in respect of the matter(s) giving rise to the expected modification(s).

Appendix

(Ref: Para. A17‑A18, A25)

Illustrations of Auditor's Reports with Modifications to the Opinion

      * Illustration 1:  [Deleted by the AUASB.  Refer [Aus] Illustration 1A].

      * [Aus] Illustration 1A:  An auditor's report containing a qualified opinion due to a material misstatement of the financial report prepared in accordance with the Corporations Act 2001 (a fair presentation framework).

      * Illustration 2:  [Deleted by the AUASB.  Refer [Aus] Illustration 2A].

      * [Aus] Illustration  2A:  An auditor's report containing an adverse opinion due to a material misstatement of the group financial report prepared in accordance with the Corporations Act 2001 (a fair presentation framework).

      * Illustration 3:  [Deleted by the AUASB.  Refer Illustration [Aus] 3A].

      * [Aus] Illustration 3A:  An auditor's report containing a qualified opinion due to the auditor's inability to obtain sufficient appropriate audit evidence regarding a foreign associate - financial report prepared in accordance with the Corporations Act 2001 (a fair presentation framework).

      * Illustration 4:  An auditor's report containing a disclaimer of opinion due to the auditor's inability to obtain sufficient appropriate audit evidence about a single element of the financial report.

      * Illustration 5:  An auditor's report containing a disclaimer of opinion due to the auditor's inability to obtain sufficient appropriate audit evidence about multiple elements of the financial report.

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

[Aus] Illustration 1A:  Qualified Opinion due to a Material Misstatement of the Financial Report

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

      * Audit of the financial