Auditing and Assurance in Australia

Auditing and Assurance in Australia
1 | P a g e

Table of Contents
Introduction................................................................................................................ 3
ASA 220...................................................................................................................... 3
Explanatory Statement- ASA 220...............................................................................4
ASA 220- A brief compilation details..........................................................................5
Conclusion.................................................................................................................. 5
Bibliography............................................................................................................... 7
2 | P a g e

Introduction
Australian Auditing and Assurance Standard Board is in the continuous process to amend its
different standards and regulations to follow international standard of auditing and assurance in
order to ensure prudence to the stakeholders as per global standard. The authority named
Auditing and Assurance Standard Board, Australia has issued different standards under the
supervision of Federal Register of Legislation, Australian Government. The Auditing Standard,
ASA 220 is the subject of discussion for this article. As a part of continuous changing process,
this standard is also passing through different changes as per requirement generated by this
curriculum of auditing in Australia. (leAccountant, 2016)
ASA 220
As per the requirement of the strategic roadmap provided by the Financial Reporting Council
(FRC) to AUASB, the later has to ensure a program as per the guideline set by International
Auditing and Assurance Standards Board (IAASB) for Australia to revise and enhance the global
standards on auditing as per International Auditing Standards. This step would ensure
compliance as set by ISA to ensure proper required changes to the Australian Auditing
Standards. This is a continuous process by the Australian authority following adaptation of the
program to amend and revise the standards to ensure clarity and prudence to the stakeholders to
be at par with the equivalent ISAs. (Board, 2009)
This standard ASA 220 is mainly emphasizes on the issue of quality management and respective
control of specific audit of a financial report along with other Historical Financial Information
connected to the demands of the provision enforced by legislative authorities with proper
roadmap of Strategic Direction.
AUASB, with the identity of independent statutory authority of the Australian Government, was
enforced under section 227A of the Australian Securities and Investments Commission Act
2001as per amendments required and known as ASIC Act. The AUASB has the power to make
and amend the Auditing Standards for ensuring corporations legislation under section 336 of the
Corporation Act 2001. These braces of Auditing Standards are considered as the legislative
instruments under the Legislative Instruments Act, 2003.
3 | P a g e