Document ID: chunk:federal_register_of_legislation:F2022C01186:reg:14:p14
Version: federal_register_of_legislation:F2022C01186
Segment Type: reg
Provision Reference: reg 14 (pt 14/30)
Character Range: 51924–55122

management's responsibilities, on which an audit of the financial report of a public sector entity is conducted may include additional responsibilities, such as the responsibility for the execution of transactions and events in accordance with law, regulation or other authority.[8]

Form of the Auditor's Opinion (Ref: Para. 8)

A15.         The opinion expressed by the auditor is on whether the financial report is prepared, in all material respects, in accordance with the applicable financial reporting framework.  The form of the auditor's opinion, however, will depend upon the applicable financial reporting framework and any applicable law or regulation.  Most financial reporting frameworks include requirements relating to the presentation of the financial report; for such frameworks, preparation of the financial report in accordance with the applicable financial reporting framework includes presentation.

A16.         Where the financial reporting framework is a fair presentation framework, as is generally the case for a general purpose financial report, the opinion required by the Australian Auditing Standards is on whether the financial report is presented fairly, in all material respects, or gives a true and fair view.  Where the financial reporting framework is a compliance framework, the opinion required is on whether the financial report is prepared, in all material respects, in accordance with the framework.  Unless specifically stated otherwise, references in the Australian Auditing Standards to the auditor's opinion cover both forms of opinion.

Ethical Requirements Relating to an Audit of a Financial Report (Ref: Para. 14)

A17.         [Deleted by the AUASB.  Refer Aus A17.1]

Aus A17.1 The auditor is subject to relevant ethical requirements, including those pertaining to independence, relating to audit engagements as defined in ASA 102.[*]

A18.         [Deleted by the AUASB.  See ASA 102]

A19.         [Deleted by the AUASB.  See ASA 102]

A20.         ASQM 1[9] deals with the firm's responsibilities to design, implement and operate a system of quality [10] management that provides the firm  with reasonable assurance that the firm and its personnel   fulfill their responsibilities in accordance with AUASB Standards and applicable legal and regulatory requirements, and conduct engagements in accordance with such standards and requirements. As part of its system of quality management, ASQM 1 requires the firm to establish quality objectives that address the fulfillment of responsibilities in accordance with relevant ethical requirements, including those related to independence.[11]  ASA 220 sets out the engagement partner's responsibilities with respect to relevant ethical requirements, including those related to independence[12]. ASA 220 also describes when the engagement team may depend on the firm's policies or procedures in managing and achieving quality at the engagement level.[13]

Professional Scepticism (Ref: Para. 15)

A21.         Professional scepticism includes being alert to, for example:

           * Audit evidence that contradicts other audit evidence obtained.

           * Information that brings into question