Group Audits – AASOC

Sep 30, 2020

At its meeting on September 30, 2020, the AASOC noted that the AASB has successfully recruited 11 audit teams across Canada to test out the proposals featured in the Exposure Draft on an audit file. The Board is currently finalizing its response letter to the IAASB using the feedback received from the test audit teams. AASOC members commended the AASB on this approach for obtaining stakeholder feedback. In response to a question, Mr. Charbonneau said that the AASB received strong evidence-based feedback by having audit teams apply the proposed standard to an actual audit file. A similar approach was used with Canadian Auditing Standard (CAS) 540, Auditing Accounting Estimates and Related Disclosures. Although this model is time-consuming for staff, the Board continues to refine it and anticipates using it on future projects because of the useful evidence it yields.