May-June-issue
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pEN OFF<br />
THE AUDITOR’S REPORT<br />
S676(1)<br />
S727(1)(b)<br />
S727(2)(a)<br />
S727(2)(b)<br />
S727(3)(a)(i)<br />
S727(3)(a)(ii)<br />
S727(3)(a)(iii)<br />
S727(3)(a)(iii)<br />
S727(3)(b)<br />
S727(5)(a)<br />
S727(5)(b)<br />
S727(6)(a)<br />
S727(6)(b)<br />
S727(7)(a)<br />
S727(7)(b)<br />
S728<br />
S729(1)(a)<br />
S729(1)(b)<br />
S730(2)(a)<br />
S730(2)(b)<br />
S730(2)(c)<br />
S730(3)<br />
S735(1)(a)<br />
S735(1)(b)<br />
S735(2)<br />
(1) When publishing its statutory financial statement, a company shall enclose with or annex to the statement a<br />
copy of ’ the auditor’s report on that financial statement.<br />
(1) An auditor shall make a report to the members of the company on all annual financial statements of the<br />
company of which copies are, during the auditor’s tenure of office: (b) in the case of a public company—to be<br />
presented at a general meeting of the company.<br />
(2) The auditor shall include in the auditor’s report: (a) an introduction identifying the annual financial<br />
statement that is the subject of the audit and the financial reporting framework that has been applied in its<br />
preparation; and<br />
(b) a description of the scope of the audit identifying the auditing standards in accordance with which the audit<br />
was conducted.<br />
(3) The auditor shall clearly state in the report whether, in the auditor´s opinion, the annual financial statement:<br />
(a) gives a true and fair view of—(i) in the case of an individual balance sheet: of the financial position of the<br />
company as at the end of the relevant financial year;<br />
(ii) in the case of an individual profit and loss account: of the profit or loss of the company for the financial year;<br />
and<br />
(iii) in the case of a group financial statements: of the financial position as at the end of the financial year and<br />
of the profit or loss for the financial year of the undertakings to which the statements relate, taken as a whole, so<br />
far as concerns members of the company;<br />
(3) The auditor shall clearly state in the report whether, in the auditor´s opinion, the annual financial statement:<br />
(b) has been properly prepared in accordance with the relevant financial reporting framework;<br />
(5) The auditor shall, in the case of a group financial statement, clearly state in the report whether, in the<br />
auditor’s opinion: (a) the consolidated balance sheet gives a true and fair view of the financial position of the<br />
undertakings to which the statement relates, taken as a whole, as at the end of the relevant financial year; and<br />
(b) the consolidated profit or loss account gives a true and fair view of the profit and loss of those undertakings,<br />
taken as a whole, for that financial year.<br />
(6) The auditor shall, in the case of an individual financial statement or a group financial statement, also clearly<br />
state in the report whether, in the auditor’s opinion, the statement: (a) has been properly prepared in accordance<br />
with the relevant financial reporting framework; and<br />
(b) has been prepared in accordance with the requirements of this Act (including the prescribed accounting<br />
standards).<br />
(7) The auditor shall: (a) state in the report whether the report is unqualified or qualified; and (b) include in the<br />
report a reference to any matters to which the auditor wishes to draw attention without qualifying the report.<br />
(b) include in the report a reference to any matters to which the auditor wishes to draw attention without<br />
qualifying the report.<br />
The auditor shall state in the auditor’s report on the company’s annual financial statement whether in the<br />
auditor’s opinion the information given in the directors’ report for the financial year for which the financial<br />
statement is prepared is consistent with that statement.<br />
(1) In reporting on the annual financial statement of a quoted company, the auditor shall: (a) report to the<br />
company’s members on the auditable part of the directors’ remuneration report; and<br />
(b) state whether in the auditor’s opinion that part of the directors’ remuneration report has been properly<br />
prepared in accordance with this Act.<br />
(2) If, in reporting on the annual financial statement of a company, the company’s auditor forms the opinion:<br />
(a) that the company has not kept adequate accounting records, or that returns adequate for their audit have not<br />
been received from the company’s branches not visited by that auditor;<br />
(b) that the company´s individual financial statement is not in agreement with the company’s accounting<br />
records and returns; or<br />
(c) in the case of a quoted company: that the auditable part of its directors’ remuneration report is not in<br />
agreement with those accounting records and returns, the auditor shall state that opinion in the report.<br />
(3) If the auditor fails to obtain all the information and explanations that, to the best of the auditor’s knowledge<br />
and belief, are necessary for the purposes of the audit, the auditor shall state that fact in the report.<br />
(1) Subject to subsection (2), an auditor shall: (a) sign and date the auditor’s report; and<br />
(b) ensure that the auditor’s name is prominently displayed in the report.<br />
(2) If the auditor is a firm, the senior statutory auditor of the firm shall sign the report on behalf of the firm.<br />
72 MAY - JUNE 2018