Document ID: chunk:federal_register_of_legislation:F2023C01120:reg:3:p3
Version: federal_register_of_legislation:F2023C01120
Segment Type: reg
Provision Reference: reg 3 (pt 3/12)
Character Range: 16534–19972

the AUASB.  Refer Aus 0.3]

Objective

5.                   The objective of the auditor is to prepare documentation that provides:

(a)                A sufficient and appropriate record of the basis for the auditor's report; and

(b)                Evidence that the audit was planned and performed in accordance with Australian Auditing Standards and applicable legal and regulatory requirements.

Definitions

6.                   For the purposes of this Auditing Standard, the following terms have the meanings attributed below:

(a)                Audit documentation means the record of audit procedures performed, relevant audit evidence obtained, and conclusions the auditor reached (terms such as "working papers" or "workpapers" are also sometimes used).

(b)                Audit file means one or more folders or other storage media, in physical or electronic form, containing the records that comprise the audit documentation for a specific engagement.

(c)                Experienced auditor means an individual (whether internal or external to the firm) who has practical audit experience, and a reasonable understanding of:

(i)                 Audit processes;

(ii)               Australian Auditing Standards and applicable legal and regulatory requirements;

(iii)             The business environment in which the entity operates; and

(iv)             Auditing and financial reporting issues relevant to the entity's industry.

Requirements

Timely Preparation of Audit Documentation

7.                   The auditor shall prepare audit documentation on a timely basis.  (Ref: Para. A1)

Documentation of the Audit Procedures Performed and Audit Evidence Obtained

Form, Content and Extent of Audit Documentation

8.                   The auditor shall prepare audit documentation that is sufficient to enable an experienced auditor, having no previous connection with the audit, to understand:  (Ref: Para. A2‑A5, A16‑A17)

(a)                The nature, timing, and extent of the audit procedures performed to comply with the Australian Auditing Standards and applicable legal and regulatory requirements; (Ref: Para. A6‑A7)

(b)                The results of the audit procedures performed, and the audit evidence obtained; and

(c)                Significant matters arising during the audit, the conclusions reached thereon, and significant professional judgements made in reaching those conclusions.  (Ref: Para. A8‑A11)

9.                   In documenting the nature, timing and extent of audit procedures performed, the auditor shall record:

(a)                The identifying characteristics of the specific items or matters tested; (Ref: Para. A12)

(b)                Who performed the audit work and the date such work was completed; and

(c)                Who reviewed the audit work performed and the date and extent of such review.  (Ref: Para. A13)

10.               The auditor shall document discussions of significant matters with management, those charged with governance, and others, including the nature of the significant matters discussed and when and with whom the discussions took place.  (Ref: Para. A14)

11.               If the auditor identified information that is inconsistent with the auditor's final conclusion regarding a significant matter, the auditor shall document how the auditor addressed the inconsistency.  (Ref: Para. A15)

12.               [Deleted by the AUASB.