What is the concept of ‘Materiality’, and how is it applied in an Audit?
The word “materiality” basically means how important or significant something is in relation to the financial statements as a whole. ISA 320 Materiality in Planning and Performing an Audit says [defines] the following about the term: ‘A matter is material if its omission or misstatement would reasonably influence the economic decisions of users taken on […]
The ISAs that affected by the Clarity Project
Continued from the previous post: The Clarity Project [https://lnkd.in/giptfb7k] ISA 260 Communication with Those Charged with Governance This clarified ISA emphasises the importance of effective two-way communication between the auditor and those charged with governance of the entity. Where the auditor encounters significant difficulty during the course of an audit, the auditor is required to […]
