Q8- Principles Of Auditing (ICAN ATSWA Sept 2021 Insight)

 

      

Question 8:

Which of the following is NOT among the content of Auditors reports?  

A. The heading 

B. Period covered 

C. Details of fees charged 

D. Work done 

E. Name of the Auditor and the date the report was signed    

The correct answer is (C)

Past Question Review:

The auditor's report is a document containing the auditor's opinion on whether a company's financial statements comply with GAAP and are free from material misstatement.

The auditor’s report should contain a clear  written expression of opinion on the financial statements taken as a whole. The auditor’s  report includes the following basic elements, ordinarily in the following layout: 

a) Title; 

b) Addressee; 

c) Opening or introductory paragraph 

i. Identification of the financial statements  audited; 

ii. A statement of the responsibility of the  entity’s management and the responsibility of  the auditor; 

d) Scope paragraph (describing the nature of an audit) 

i. A reference to the International Standards of  Auditing (ISAs) or relevant national standards or  practices; 

ii.A description of the work the auditor  performed 

e) Opinion paragraph containing: 

i. A reference to the financial reporting  framework used to prepare the financial statements (including identifying the country of  origin of the financial reporting framework when the framework used is not International  Accounting Standards); and 

ii. An expression of opinion on the financial statements; 

f) Auditor’s signature. 

g) Auditor’s address; and 

h) Date of the report; 

The correct answer is (C)

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