PEG Content Updates - Audit
New forms
| Form Numbers | Description |
|---|---|
| 325 | New form to document key audit matters (where applicable). |
| 455, 455c | This new form replaces PEG Form 426 and addresses the steps required to appropriately prepare the risk assessment procedures. |
Forms with significant revisions
| Form Numbers | Description |
|---|---|
| 615 | Revised to clarify the requirements for performing tests of controls. |
| AL7.7, AL7.8 | Legal letter updated to reflect changes made to the Joint Policy Statement with Law Firms. |
| FRF 906, FRF 907, FRF 909, FRF 910, FRF 913 | Updated to current accounting standards. |
Forms with moderate revisions
| Form Numbers | Description |
|---|---|
| 310 | Updated to reflect the changes related to the new auditor reporting standards, including the consideration of misstatements in qualitative disclosures, the new requirement to communicate significant risks to those charged with governance, and key audit matters (where applicable). |
| 420 | Added considerations for possible misstatements in qualitative disclosures. |
| 500 | The form was revised to provide additional guidance on the reliability and adequacy of the data used for analysis, to highlight that the performance of preliminary analytical review is to identify potential risks of material misstatement, and to provide guidance on the use of data analysis software. |
| 625 | Changes reflect the amendments made to auditor reporting when a going-concern uncertainty exists. |
| 420c | Added considerations for possible misstatements in qualitative disclosures. |
| 635, 645, 650, 666 | Changes made to the combination of assertions and the new assertion for presentation, along with updated procedures for presentation and disclosures. |
Forms with minor revisions
| Form Numbers | Description |
|---|---|
| 320 | Additional guidance on key audit matters (where applicable). |
| 335 | Additional guidance on the consideration of material misstatements in qualitative disclosures. |
| 340 | Updated to reflect the new requirement to communicate significant risks identified to those charged with governance, and key audit matters (where applicable). |
| 405, 410 | Additional guidance provided in Appendix A on potential engagement risk factors. |
| 430 | Added factors to consider in the audit, including going-concern uncertainties and, if applicable, key audit matters. |
| 436 | Added factors to consider in the team planning meeting, including the applicable financial reporting framework, significant risks previously identified and key audit matters (where applicable). |
| 506 | New consideration for discussion relating to whether any significant financial statement disclosures have been omitted, obscured or misstated. |
| 510, 510c, 510 NFP, 510c NFP | Updated section on accounting policies and financial statement disclosures to emphasize the requirement to consider financial statement disclosures and the assessment of the appropriateness of the entity's accounting policies. |
| 513 | Changes made to the combination of assertions and a new question assessing whether an estimate is a significant risk. |
| 582 | Changes made to the combination of assertions and some new controls added. |
| 606 | Minor changes were made to the layout of Part 1, and changes were made to the combination of assertions and the new assertion for presentation. |
| 430c | Under "Factors to consider in the audit," added consideration of going-concern uncertainties. |
| 436c | Added consideration to include the applicable financial reporting framework. |
| 520, 520c, 522, 522c, 540, 540c, 590-2 AL, 590-Previous | Changes made to the combination of assertions and the new assertion for presentation. |
| 530, 530c | Updated to include the requirement to understand the information used by management, whether obtained from within or outside the general and subsidiary ledgers. |
| 545, 545c, 545 NFP, 545c NFP, 550, 550c, 550 NFP, 550c NFP, 555, 555c, 560, 560c | Changes made to the combination of assertions and the new assertion for presentation. A new risk was added relating to financial state. |
| 670, 675, 680, 681 NFP | Changes made to the combination of assertions. |
| A.100, B.100, C.100, C.100 NFP, D.100, E.100, L.100, N.100, U.100, U.100 NFP, W.100, AA.100, BB.100, CC.100, FF.100, GG.100, KK.100, MM.100 NFP, TT.100 NFP, UU.100, UU.110, 705, 705 NFP, 720, 730, 735 | Minor changes were made to the layout of Part 1 and to the combination of the accuracy and valuation assertions. A new assertion for presentation and disclosure has been added. Updated procedures for presentation and disclosures. |
| 505, 505c, 508, 531, 590-1 FSL, 590-Previous, 605, 605c, FRF-972 | Minor wording revisions. |
New letters
| Form Numbers | Description |
|---|---|
| 415.1A | The adoption of the new auditor reporting requirements resulted in significant amendments to the engagement letters. This letter is applicable for use with entities reporting under ASNFPO. Contains common legal terms and conditions relevant to engagement letters. |
| 415.PRE | This letter is based on the pre-auditor reporting requirements. It is to be used for audits of financial statements for periods ending on or before December 14, 2018. Contains common legal terms and conditions relevant to engagement letters. |
| 415.1B | The adoption of the new auditor reporting requirements resulted in significant amendments to the engagement letters. This letter is applicable for use with entities reporting under a compliance framework. Contains common legal terms and conditions relevant to engagement letters. |
| AL1.2PRE | This letter is based on the pre-auditor reporting requirements. It is to be used for audits of financial statements for periods ending on or before December 14, 2018. Contains common legal terms and conditions relevant to engagement letters. |
| AL1.3PRE | This letter is based on the pre-auditor reporting requirements. It is to be used for audits of financial statements for periods ending on or before December 14, 2018. Contains common legal terms and conditions relevant to engagement letters. |
Letters with significant revisions
| Form Numbers | Description |
|---|---|
| AL7.7, AL7.8 | Legal letter updated to reflect changes made to the Joint Policy Statement with Law Firms. |
Letters with major revisions
| Form Numbers | Description |
|---|---|
| 415 | The adoption of the new auditor reporting requirements resulted in significant amendments to the engagement letter. This letter has been designed for entities reporting under ASPE. Updated with the modification and addition of common legal terms and conditions relevant to engagement letters. |
| AL1.2 | The adoption of the new auditor reporting requirements resulted in significant amendments to the engagement letter. This letter has been designed for entities reporting under ASPE for the first time. Updated with the modification and addition of common legal terms and conditions relevant to engagement letters. |
| AL1.3 | The adoption of the new auditor reporting requirements resulted in significant amendments to the engagement letter. This letter has been designed for entities reporting under ASNPO for the first time. Updated with the modification and addition of common legal terms and conditions relevant to engagement letters. |
Letters with moderate revisions
| Form Numbers | Description |
|---|---|
| 350 | Added requirements for CAS 720 relating to other information in the Notes of Section 2. Minor wording changes and editorial changes have been made to the letter. |
| AL2.2 | Changes to the group level risk assessment to address risks relating to financial statement disclosures, significant estimation uncertainty and the appropriateness of management's use of the going-concern basis of accounting. |
| AL3.3 | Addresses the requirement to communicate significant risks identified. |
Letters with minor revisions
| Form Numbers | Description |
|---|---|
| AL3.1 | Amendment to address misstatements in qualitative disclosures. |
| AL3.4 | Added line on restriction of use. |
| AL4.2 | More detailed requirements provided for management assistance. |
| AL1.4, AL1.5, AL1.6, AL1.7, AL1.8, AL2.1, AL3.2, A5, AL5 sections, AL6 sections, AL7 sections, OL sections | Minor wording revisions. |
This online help system applies to all CaseWare Audit, Review, and Compilation products. Not all features are available in all products.
