Practical auditing under clarified ISAs

In order to be awarded CPD units you must answer the following five random questions correctly. If you fail the test, please re-read the article before attempting the questions again.

  1. What should be the approach to the performance of an audit under clarified ISAs?

  2. The structure of each clarified ISA includes the following items:

  3. What would constitute performance materiality in accordance with ISA 320?

  4. What does ISA 540 require as a response to significant risks arising from estimates with high levels of uncertainty?

  5. What does ISA 580 require the auditor to do if there is sufficient doubt about management`s representations on the fulfilment of its responsibility for the preparation of the accounts, the completeness of the information provided and its reliability?

  6. ISA 402 requires the auditor to obtain an understanding of the services provided by external organisations and used by the reporting entity in respect of:

  7. Identify specific objectives, requirements and separate application and explanatory material that guide the auditor in identifying and assessing risks of material misstatement, in obtaining sufficient appropriate audit evidence by designing appropriate responses to the assessed risks, and in forming an opinion on the basis of the evidence obtained

  8. What does ISA 315 require in order to identify and assess the risks of material misstatement?

  9. What are the new standards introduced as part of the clarified ISAs?

  10. The clarified ISAs in the UK apply from: