Reporting back

Multiple-choice questions: 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. How did UK audit firms react to the requirements of ISA (UK and Ireland) (Revised) 700 The Independent Auditors Report on Financial Statements after it was issued in 2013?

  2. How do the current UK and International requirements for the audit report compare?

  3. Research carried out by the FRC to ascertain if the information reported in extended auditor reports was consistent with the information contained in Audit Committee Reports. The research findings indicated that -

  4. ISA (UK and Ireland) 700 does not specify where the opinion paragraph should appear within the extended audit report as it was thought that this would be too prescriptive and would stifle innovation. Consequently, the FRC review has found that -

  5. A disappointing aspect of the changes which have taken place according to the FRC review suggests that auditors are not good at explaining the reasons for changes in their approach adopted, such as in the assessed risks reported form one year to the next. The best explanation for this conclusion would seem to be -

  6. The overall investor reaction to the changes brought about by extended auditor reports can be summarised as follows -

  7. The 2016 FRC review of UK practice identified that relative to their previous 2015 review -

  8. ISA (UK and Ireland) 700 required for the first time disclosures to be made about materiality in the extended audit report, and subsequent FRC research has found that -

  9. A key change in risk reporting brought about by ISA (UK and Ireland) 700 has been the extent to which audit reports have increasingly focused upon granular risks, which can best be described as -

  10. A prominent aspect of the new extended UK audit reports has been -