Document ID: chunk:federal_register_of_legislation:F2022L00712:body:0:p5
Version: federal_register_of_legislation:F2022L00712
Segment Type: other
Provision Reference: 
Character Range: 13020–16092

paragraph 2619.

10.               Existing sixth bullet point of paragraph A112 is amended to read as follows:

The Ggroup engagement teamsauditor communicates matters to component auditors in accordance with the firm's policies or procedures, including matters related to quality management at the engagement level.

Amendments to ASQM 2

11.               Existing paragraph A32 is amended to read as follows:

The performance of an engagement quality review for an audit of a group financial report may involve additional considerations for the individual appointed as the engagement quality reviewer for the group audit, depending on the size and complexity of the group. Paragraph 21(a) requires the firm's policies or procedures to require the engagement quality reviewer to take overall responsibility for the performance of the engagement quality review. In doing so, for larger and more complex group audits, the group engagement quality reviewer may need to discuss significant matters and significant judgements with key members of the engagement team other than the group engagement teamauditor (e.g., those responsible for performing audit procedures on the financial information of a component auditor). In these circumstances, the engagement quality reviewer may be assisted by individuals in accordance with paragraph 20. The guidance in paragraph A22 may be helpful when the engagement quality reviewer for the group audit is using assistants.

Amendments to ASA 220

12.               The following paragraph A22 is inserted following existing paragraph Aus A21.1 of this Auditing Standard:

[Deleted by the AUASB].

13.               Existing paragraph A24 is amended to read as follows:

In particular, the firm's policies or procedures may require the firm or the engagement partner to take different actions from those applicable to personnel when obtaining an understanding of whether an individual from another firm:

           * Has the appropriate competence and capabilities to perform the audit engagement. For example, the individual would not be subject to the firm's recruitment and training processes and therefore the firm's policies or procedures may state that this determination can be made through other actions such as obtaining information from the other firm or a licensing or registration body. Paragraphs 2619 and A59­–A64A38 of ASA 600 contain guidance on obtaining an understanding of the competence and capabilities of component auditors.

           * …

14.               Existing paragraph A25 is amended to read as follows:

When firm policies or procedures require specific activities to be undertaken in certain circumstances (e.g., consultation on a particular matter), it may be necessary for the firm's related policies or procedures to be communicated to individuals who are not personnel. Such individuals are then able to alert the engagement partner if the circumstance arises, and this enables the engagement partner to comply with the firm's policies or procedures. For example, in a group audit engagement, if