Communication to the Client When Regulator May Request Access to Audit Documentation When Not Required by Law or Regulation (from AU-C 9230.13)
The audit documentation for this engagement is the property of [name of auditor] and constitutes confidential information. However, we may be requested to make certain audit documentation available to [name of regulator] for [describe the regulator’s basis for its request]. If requested, access to such audit documentation will be provided under the supervision of [name of auditor] personnel. Furthermore, upon request, we may provide photocopies of selected audit documentation to [name of regulator]. The [name of regulator] may intend or decide to distribute the copies of information contained therein to others, including other government agencies.
You have authorized [name of auditor] to allow [name of regulator] access to the audit documentation in the manner discussed above. Please confirm your agreement to the above by signing below and returning to [name of auditor, address].
Firm signature
Agreed and acknowledged:
[Name and title]
[Date]
Illustration 4. Audit Documentation Requirements in Other AU-C Sections (from AU-C 230.A30)
The following lists the main paragraphs in other AU-C sections that contain specific documentation requirements. See the related chapters in this book for additional information.
| a. | Paragraphs .10, .13, and .16 of Section 210, Terms of Engagement |
| b. | Paragraphs .25–.26 of Section 220, Quality Control for an Engagement Conducted in Accordance with Generally Accepted Auditing Standards |
| c. | Paragraphs .43–.46 of Section 240, Consideration of Fraud in a Financial Statement Audit |
| d. | Paragraph .28 of Section 250, Consideration of Laws and Regulations in an Audit of Financial Statements |
| e. | Paragraph .20 of Section 260, The Auditor’s Communication with Those Charged with Governance |
| f. | Paragraph .12 of Section 265, Communicating Internal Control Related Matters Identified in an Audit |
| g. | Paragraph .14 of Section 300, Planning an Audit |
| h. | Paragraph .33 of Section 315, Understanding the Entity and Its Environment and Assessing the Risks of Material Misstatement |
| i. | Paragraph .14 of Section 320, Materiality in Planning and Performing an Audit |
| j. | Paragraphs .30–.33 of Section 330, Performing Audit Procedures in Response to Assessed Risks and Evaluating the Audit Evidence Obtained |
| k. | Paragraph .12 of Section 450, Evaluation of Misstatements Identified during the Audit |
| l. | Paragraph .20 of Section 501, Audit Evidence—Specific Considerations for Selected Items |
| m. | Paragraph .08 of Section 520, Analytical Procedures |
| n. | Paragraph .22 of Section 540, Auditing Accounting Estimates, Including Fair Value Accounting Estimates, and Related Disclosures |
| o. | Paragraph .28 of Section 550, Related Parties |
| p. | Paragraph .22 of Section 570, The Auditor’s Consideration of an Entity’s Ability to Continue as a Going Concern |
| q. | Paragraphs .49 and .64 of Section 600, Special Considerations—Audits of Group Financial Statements (Including the Work of Component Auditors) |
| r. | Paragraph .13 of Section 915, Reports on Application of Requirements of an Applicable Financial Reporting Framework |
| s. | Paragraphs .42–.43 of Section 930, Interim Financial Information |
| t. | Paragraphs .39–.42 of Section 935, Compliance Audits |
Note
1 1 See “Definitions of Terms” section.
5 AU-C 240 Consideration of Fraud in a Financial Statement Audit
Objectives of AU-C Section 240
Description and Characteristics of Fraud
Responsibilities of the Auditor
Engagement Team Discussion about Fraud (Brainstorming)
Obtaining Information Needed to Identify Fraud Risks
Responding to the Results of the Assessment
