Group audits 2 of 3 – Procedures Excluding Consolidation Procedure

2022-01-24T08:06:29+02:00

Group audits 2 of 3 – Procedures Excluding Consolidation Procedure Group audits represent some of the most risky audits to undertake, as most public interest audits comprise the audit of groups of companies. However, the standards and audit principles relevant to group audits do not always receive the detailed attention they deserve. In the discussion of audit procedures, this article EXCLUDES the consolidation process, and should be read in conjunction with parts 1 and 3 to reach an understanding of group audits as a whole. It addresses key requirements which auditors would be wise to include [...]

Group audits 2 of 3 – Procedures Excluding Consolidation Procedure2022-01-24T08:06:29+02:00

Group Audits 1 of 3 ‒ Consolidations

2022-01-24T08:06:52+02:00

Group Audits 1 of 3 ‒ Consolidations Group audits represent some of the most risky audits to undertake, as most public interest audits comprise the audit of groups of companies. However, the standards and audit principles relevant to group audits do not always receive the detailed attention they deserve. This article addresses ONLY audit procedures relating to the consolidation process, and needs to be read in conjunction with parts 2 and 3 to reach an understanding of group audits as a whole. Professional requirements The International Standards on Auditing (ISAs) apply to group audits. ISA [...]

Group Audits 1 of 3 ‒ Consolidations2022-01-24T08:06:52+02:00

Data Protection

2021-12-06T12:49:50+02:00

Data Protection Since the onset of the Covid-19 pandemic, many auditors and their clients have been working remotely, resulting in much more client data being exchanged on technological platforms. Not all platforms are secure, which creates a greater threat of data security breaches. The damage caused by data breaches is unpredictable and audit firms may incur considerable losses in this regard. Audit firms should, therefore, take all the necessary steps to protect the data they process, including personal information processed, in terms of the Protection of Personal Information Act, 2013. Professional requirements The International Standard on Quality Control 1 (ISQC [...]

Data Protection2021-12-06T12:49:50+02:00

The Impact of POPIA

2021-09-21T22:12:27+02:00

The Impact of  POPIA The Protection of Personal Information Act, 2013 (Act No. 4 of 2013), otherwise known as POPIA, came into effect on 1 July 2020. Responsible parties were granted a grace period of 12 months to ensure compliance with POPIA by 30 June 2021. This means that responsible parties must be able to prove compliance from 1 July 2021. The Information Regulator of South Africa may not yet be fully geared for monitoring compliance on a regular basis, but the regulator will investigate, if any claims are lodged against responsible parties. The consequences for non-compliance are significant. [...]

The Impact of POPIA2021-09-21T22:12:27+02:00

Auditing of Compliance with Financial Reporting Frameworks – The Presentation Assertion

2021-02-22T13:59:41+02:00

Auditing of Compliance with Financial Reporting Frameworks – the Presentation Assertion Audit regulators are reporting that financial statement disclosure deficiencies have increased substantially over the past few years. It is crucial for auditors to realise that they need to have a sound understanding of the financial reporting framework applied by the entity and perform thorough audit procedures to determine whether the financial reporting framework has been correctly applied. This does not merely require the completion of a disclosure checklist, but also the verification of recognition and measurement, in terms of the financial reporting framework and reporting responsibilities placed [...]

Auditing of Compliance with Financial Reporting Frameworks – The Presentation Assertion2021-02-22T13:59:41+02:00

The new face of quality management

2021-02-26T10:50:04+02:00

The new face of quality management There has been significant activity in the quality management arena over the past few years, culminating in the approval of the set of new quality management standards at the September 2020 IAASB meeting. Subject to final approval by the Public Interest Oversight Board later this year, it is anticipated that the standards will be issued by the end of the year and that the profession will have 24 months to implement the changes introduced with these new standards. [...]

The new face of quality management2021-02-26T10:50:04+02:00

Electronic Signatures

2021-09-19T17:36:32+02:00

Electronic Signatures In the audit profession, signatures are used for a variety of reasons, including for representations from clients, signing off working papers, and signing the audit- and other reports. With the onset of COVID-19 and the ‘new normal’ of auditors working remotely from users of their documents, electronic signatures have emerged as an important issue to ensure that the form of signature is appropriate for the purpose used. Key requirements The IRBA has issued a request for comments on a proposed explanatory memorandum. The considerations it presents, as well [...]

Electronic Signatures2021-09-19T17:36:32+02:00

Newsflash: IFAC Practice transformation action plan

2020-06-22T16:58:02+02:00

Newsflash: IFAC Practice transformation action plan Welcome to the Fast-Future We will not recognise the accountancy profession in the next 10 years. Actually, the fact of the matter is that it will probably be in the next five years. —Barry Melancon, President & CEO, American Institute of CPAs and CEO, Association of International Certified Professional Accountants We live in a dynamic, fast-paced world. Accenture predicted that advances in robotics would automate, or eliminate 40% of basic accounting roles by 2020. Within 10 years, robots [...]

Newsflash: IFAC Practice transformation action plan2020-06-22T16:58:02+02:00

Newsflash: COVID-19 and force majeure

2020-06-22T08:45:46+02:00

Newsflash: COVID-19 and force majeure Will the coronavirus (COVID-19) constitute a force majeure event under South African law? The answer to that is that it depends on the circumstances. The virus has been declared a pandemic by the World Health Organisation and is causing unprecedented economic chaos internationally, owing to the closure of businesses and consequent disruption of global supply chains. On a local level, it is disrupting retailers, restaurants, service providers such as taxi services, and local businesses. These disruptions may make it [...]

Newsflash: COVID-19 and force majeure2020-06-22T08:45:46+02:00

Subsequent events – COVID

2020-05-20T15:29:40+02:00

SUBSEQUENT EVENTS – The Topic We All Jumped to with the COVID Virus Lockdown, without Reading the Standard Subsequent events — the topic we all jumped to when the COVID-19 virus hit and the lockdown became a reality. How difficult can it be? Look at your adjusting and non-adjusting events and move on. And, of course, this strategy may be applied to all engagements not completed yet. Thank God, you say, the completed engagements have fallen outside the net. Not true. A scenario which was seldom relevant in the past, and hardly ever received any attention, has now hit us without us [...]

Subsequent events – COVID2020-05-20T15:29:40+02:00

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