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Saica Handbook Auditing - Compress
Saica Handbook Auditing - Compress
This document should be read in conjunction with the Competency Framework – Detailed
Guidance for Academic Programmes, issued in 2010 – specifically the “Strategy, Risk
Management and Governance” and “Auditing and Assurance” competencies – to
understand, amongst others, the levels at which these pronouncements may be assessed.
The cut-off date for examinable auditing standards as defined by the SAICA Initial Professional
Development Committee is 31 December, 12 months prior to the ITC being written. The cut-off
date for the ITC 2015 is therefore 31 December 2013.
The International Audit and Assurance Standards Board’s (IAASB’s) International Quality
Control, Auditing, Review, Other Assurance and Related Services Pronouncements (hereafter
referred to as “the IAASB’s International Standards”) are the authoritative standards issued by the
IAASB and published in the IAASB 2013 Handbooks - Volumes I and II. The IAASB also issues
Non-Authoritative Material as International Practice Notes. The IAASB’s International
Standards and International Practice Notes continue to be adopted and prescribed by the IRBA
and are to be applied by registered auditors in South Africa.
1
Both the IAASB and IRBA Pronouncements, issued up to 30 November 2013, are included in the
SAICA Handbook 2013/2014 Volume 2, except where otherwise indicated.
The SAICA Bylaws, Code of Professional Conduct and a number of SAICA Circulars are also
relevant for the Auditing and Assurance competencies, and are contained in the SAICA
Handbook 2013/2014 Volume 3.
The SAICA Handbook 2013/2014 Volumes 2 and 3 includes all the previously mentioned
pronouncements issued up to 30 November 2013 and is to be used by candidates for purposes of
the ITC 2015.
CHANGES Changes of Substance from the 2012 Edition of the Handbook and No
Recent Developments
ROLE The International Federation of Accountants’ Role No
STRUCTURE Structure of pronouncements issued by the International Auditing and Yes
Assurance Standards Board
PREFACE Preface to The International Quality Control, Auditing, Review, Other Yes
Assurance and Related Services Pronouncements (effective as of
December 15, 2011)
GLOSSARY Glossary of Terms (August 2013) Yes
2
Reference Title Exami-
nable in
ITC 2015
ISA 200 Overall Objectives of the Independent Auditor and the Conduct of an Yes
Audit in Accordance with International Standards on Auditing
ISA 210 Agreeing the Terms of Audit Engagements Yes
ISA 220 Quality Control for an Audit of Financial Statements Yes
ISA 230 Audit Documentation Yes
ISA 240 The Auditor's Responsibilities Relating to Fraud in an Audit of Yes
Financial Statements
ISA 250 Consideration of Laws and Regulations in an Audit of Financial Yes
Statements
ISA 260 Communication with Those Charged with Governance Yes
ISA 265 Communicating Deficiencies in Internal Control to Those Charged Yes
with Governance and Management
ISA 300 Planning an Audit of Financial Statements Yes
ISA 315 Identifying and Assessing the Risks of Material Misstatement through Yes
(Revised) Understanding the Entity and Its Environment (effective for audits of
financial statements for periods ending on or after December 15, 2013)
ISA 320 Materiality in Planning and Performing an Audit Yes
ISA 330 The Auditor’s Responses to Assessed Risks Yes
ISA 402 Audit Considerations Relating to an Entity Using a Service Yes
Organization
ISA 450 Evaluation of Misstatements Identified during the Audit Yes
ISA 500 Audit Evidence Yes
ISA 501 Audit Evidence – Specific Considerations for Selected Items Yes
ISA 505 External Confirmations Yes
ISA 510 Initial Audit Engagements – Opening Balances Yes
ISA 520 Analytical Procedures Yes
ISA 530 Audit Sampling Yes
ISA 540 Auditing Accounting Estimates, Including Fair Value Accounting Yes
Estimates and Related Disclosures
ISA 550 Related Parties Yes
ISA 560 Subsequent Events Yes
ISA 570 Going Concern Yes
ISA 580 Written Representations Yes
ISA 600 Special Considerations – Audits of Group Financial Statements Yes
(Including the Work of Component Auditors)
Appendices 2, 4 and 5 are examinable at knowledge level 1 only
ISA 610 Using the Work of Internal Auditors (effective for audits of financial Yes
(Revised) statements for periods ending on or after December 15, 2014)
ISA 620 Using the Work of an Auditor’s Expert Yes
ISA 700 Forming an Opinion and Reporting on Financial Statements Yes
ISA 705 Modifications to the Opinion in the Independent Auditor’s Report Yes
ISA 706 Emphasis of Matter Paragraphs and Other Matter Paragraphs in the Yes
Independent Auditor’s Report
ISA 710 Comparative Information – Corresponding Figures and Comparative Yes
Financial Statements
ISA 720 The Auditor’s Responsibilities Relating to Other Information in Yes
3
Reference Title Exami-
nable in
ITC 2015
Documents Containing Audited Financial Statements
ISA 800 Special Considerations – Audits of Financial Statements Prepared in Yes
Accordance with Special Purpose Frameworks
ISA 805 Special Considerations – Audits of Single Financial Statements and Yes
Specific Elements, Accounts or Items of a Financial Statement
ISA 810 Engagements to Report on Summary Financial Statements Yes
Conforming Amendments
CONFORM Conforming amendments to other ISAs Yes
4
Reference Title Exami-
nable in
ITC 2015
Assurance Engagements other than audits or Reviews of the Historical Financial
Information
International Standards on Assurance Engagements (ISAEs)
(3000 – 3699) (these standards are effective)
Applicable to all assurance engagements
ISAE 30001 Assurance engagements other than audits or reviews of historical Yes
financial information
Subject specific standards
ISAE 3400 The examination of prospective financial information (previously ISA No
810)
ISAE 3402 Assurance reports on control at a service organization Yes
At knowledge level 1 only
ISAE 3410 Assurance engagements on greenhouse gas statements No
ISAE 3420 Assurance engagements to report on the compilation of pro forma
financial information included in a prospectus No
Related Services
International Standards on Related Services (ISRS) (4000 – 4699)
ISRS 4400 Engagements to perform agreed-upon procedures regarding financial Yes
information (previously ISA 920)
ISRS 4410 Compilation engagements (Effective for compilation engagement Yes
(Revised) reports dated on or after 1 July 2013)
1
This Standard is incorrectly referred to as “ISAE 3400” in the Competency Framework – Detailed
Guidance for Academic Programmes, issued in 2010.
5
South African Audit Practice Statements (SAAPSs)
SAAPS 2 Financial reporting frameworks and audit opinions Yes
(Revised) (Revised November 2013)
SAAPS 3 Illustrative reports (Revised November 2013) Yes
(Revised)
SAAPS 4 Enquiries regarding litigation and claims Yes
SAAPS 5 Reporting on donor funding engagements No
SAAPS 6 External confirmations from financial institutions (Effective for all the Yes
external confirmation requests issued on or after 1 October 2013. Early
adoption is permitted)
IRBA Circular
CC 01/2006 Giving second opinions Yes
IRBA Guides
IRREG Reportable irregularities Yes
ACCESS Access to audit working papers Yes
MLFT Combating money laundering and financing of terrorism Yes
6
CODE OF PROFESSIONAL CONDUCT
The SAICA Code of Professional Conduct (as issued in December 2013) – including the
Changes to the Code (documented on ET-101 to ET 114 of Volume 3 of the SAICA
Handbook 2013/2014);
SAICA By-law 34 describing “Punishable Offences”; and
The IRBA Rules Regarding Improper Conduct and Code of Professional Conduct for
Registered Auditors (issued in June 2010). The proposed amendments to the Code of
Professional Conduct for Registered Auditors are examinable to the extent that the
proposed requirements are the same as the amendments made to the SAICA Code of
Professional Conduct (as documented on pages ET-101 to ET-114 in volume 3).
COMPANIES ACT
The Companies Act, 2008 (Act 71 of 2008), as amended by the Companies Amendment Act, 2011
(Act 3 of 2011), is examinable for the ITC 2015 to the extent that the sections of the Act are
indicated as being examinable in the “Knowledge reference list” for the “Strategy, Risk
Management and Governance” competencies as contained in the Competency Framework –
Detailed Guidance for Academic Programmes, issued in 2010.
The Companies Regulations, 2011, are examinable to the extent that the regulation relates to an
examinable section of the Companies Act. The regulations are examinable at the same level as
the section of the Companies Act to which it relates.
The Close Corporations Act, 1984 (Act 69 of 1984), as amended, is examinable for the ITC 2015
to the extent that the sections of the Act are indicated as being examinable in the “Knowledge
reference list” for the “Strategy, Risk Management and Governance” competencies as contained
in the Competency Framework – Detailed Guidance for Academic Programmes, issued in 2010.
KING REPORT
The King Report on Governance for South Africa (2009) and the King Code of Governance for
South Africa (2009) are examinable for the ITC 2015 at the levels indicated in the “Knowledge
reference list” for the “Strategy, Risk Management and Governance” competencies as contained
in the Competency Framework – Detailed Guidance for Academic Programmes, issued in 2010.
7
AUDITING PROFESSION ACT (APA)
The Auditing Profession Act (APA) is examinable for the ITC 2015. The following sections of
the APA are examinable:
1 – Definitions
2 – Objects of Act
3 – Establishment and legal status
4 – General Functions
20 – Establishment of committees
21 – Committee for auditor ethics
22 - Committee for auditing standards
37 – Registration of individuals as registered auditors
38 – Registration of firms as registered auditors
39 – Termination of registration
41 – Practice
44 – Duties in relation to audit
45 – Duties to report on irregularities
46 – Limitation of liability
52 – Reportable irregularities and false statements in connection with audits