Document ID: chunk:federal_register_of_legislation:F2023C00340:reg:10:p5
Version: federal_register_of_legislation:F2023C00340
Segment Type: reg
Provision Reference: reg 10 (pt 5/29)
Character Range: 18143–21253

concern basis of accounting, and enquire of management whether events or conditions exist that, individually or collectively, may cast significant doubt on the entity's ability to continue as a going concern.

    11.               The auditor shall remain alert throughout the audit for audit evidence of events or conditions that may cast significant doubt on the entity's ability to continue as a going concern.  (Ref: Para. A7)

Evaluating Management's Assessment

    12.               The auditor shall evaluate management's assessment of the entity's ability to continue as a going concern.  (Ref: Para. A8–A10, A12–A13)

    13.               [Deleted by the AUASB.  Refer Aus 13.1[4]]

Aus 13.1 In evaluating management's assessment of the entity's ability to continue as a going concern, the auditor shall consider the relevant period as defined in paragraph Aus 13.2 of this Auditing Standard, which may be the same or may differ from that used by management to make its assessment as required by the applicable financial reporting framework.  If management's assessment of the entity's ability to continue as a going concern covers less than the relevant period, the auditor shall request management to extend its assessment period to correspond to the relevant period used by the auditor.  (Ref: Para. A11–A13)

Aus 13.2 Relevant period means the period of approximately twelve months from the date of the auditor's current report to the expected date of the auditor's report for:

(a) the next annual reporting date in the case of an annual financial report; or

(b) the corresponding reporting period for the following year in the case of an interim financial reporting period.

    14.               In evaluating management's assessment, the auditor shall consider whether management's assessment includes all relevant information of which the auditor is aware as a result of the audit.

Period beyond Management's Assessment

    15.               The auditor shall enquire of management as to its knowledge of events or conditions beyond the period of management's assessment that may cast significant doubt on the entity's ability to continue as a going concern.  (Ref: Para. A14–Aus A15.1)

Additional Audit Procedures When Events or Conditions are Identified

    16.               If events or conditions have been identified that may cast significant doubt on the entity's ability to continue as a going concern, the auditor shall obtain sufficient appropriate audit evidence to determine whether or not a material uncertainty exists related to events or conditions that may cast significant doubt on the entity's ability to continue as a going concern (hereinafter referred to as "material uncertainty") through performing additional audit procedures, including consideration of mitigating factors.  These procedures shall include: (Ref: Para. A16)

         (a)                Where management has not yet performed an assessment of the entity's ability to continue as a going concern, requesting management to make its assessment.

         (b)                Evaluating management's