Auditing Accounting Estimates - AASB
Date recorded:
At its meeting on March 7- 8, 2016, the AASB provided input on issues related to the IAASB’s project to revise ISA 540, Auditing Accounting Estimates, Including Fair Value Accounting Estimates, and Related Disclosures, including: (i) whether the scope of ISA 540 should be clarified; (ii) whether professional skepticism could be strengthened by changing the wording of ISA 540; and (iii) how the auditor performs risk assessment procedures related to accounting estimates. The AASB agreed the composition of the advisory group being formed to provide insights to the AASB on the project.
Review the executive summary on the AASB's Web site.