Holmes Institute Audit, Assurance & Compliance: Governance Analysis

This report provides a comprehensive analysis of audit assurance and compliance in the context of the Australian Stock Exchange (ASX) corporate governance principles. It begins with an executive summary highlighting the report's focus on the relationship between corporate governance and Australian accounting standards. The introduction emphasizes the importance of recommendations for company betterment, market demand identification, and the securing of governance through the eight ASX principles. The discussion section delves into each of the eight ASX corporate governance principles, detailing their implications for management, board structure, ethical decision-making, financial reporting integrity, timely disclosure, risk management, shareholder rights, and remuneration policies. The report then explores the influence of these principles on risk assessment, audit approach, audit strategy, and the gathering of audit evidence. Recommendations are provided for each principle, emphasizing the need for solid foundations, effective board structures, ethical decision-making, and safeguarding financial reporting integrity. The report concludes by summarizing the key findings and recommendations, emphasizing the importance of adopting these principles for corporate well-being and effective governance.

Running head: Audit Assurance and Compliance
Audit Assurance and Compliance
Name of the Student-
Name of the University-
Author’s note-

1Discussion
Audit Assurance and Compliance
Executive Summary
The report is focused on the following up of significant standards of relationship in corporate
governing council of Australian Stock exchange, which is inherited through several factors of
Australian accounting standard. Several types of recommendation, which are being provided in
cognition of the company in relation to the associative skills that are being imposed for the
betterment of company.
The report effectively discusses about the identification of demand in the market. Proper
identification of governance council also focuses on securing through explaining in recognition
of eight principles that being properly related in Australian Accounting Standard.
Recommendations are discussed effectively by allotting in terms of principle that is being
allotted to it. It is focused through generating likely effect in the basis of scenario focusing the
absolute solution effecting of corporate governance and recommendation that are provided for
well-being of the company. Proper sort of adoption relating in eight ASX corporate governance
principles assured in influencing structure of project; risk assessment process, audit approach,
auditing strategy, audit evidence are attributes which basically implemented in relating to
analysis structure incorporated through it.

2Discussion
Audit Assurance and Compliance
Table of Contents
Introduction......................................................................................................................................3
Discussion........................................................................................................................................3
Identification of eight types of ASX Corporate Governance......................................................3
Adoption of corporate governance............................................................................................11
Influence factor of ASX corporate governance.........................................................................15
Risk assessment process under ASX corporate governance..................................................15
Audit Approach.....................................................................................................................15
Audit Strategy........................................................................................................................15
Audit evidence.......................................................................................................................16
Conclusion.....................................................................................................................................16
Appendix........................................................................................................................................18
Reference List................................................................................................................................19

3Discussion
Audit Assurance and Compliance
Introduction
The report is emphasized on the follow up of significant resources on the relationship of
corporate governing council in Australian Stock exchange that is being highly related on the
factors of Australian accounting standard. There are certain types of recommendation that are
being provided by the cognition of the company in relation to the associative skills that are
being imposed for the betterment of the company. The report effectively discusses about the
identification of demand in the market. Proper identification of the governance council also
focuses on securing the explaining of the eight principles that is being properly related to the
Australian Accounting Standard. Recommendations are also allotted in terms of the principle
that is being allotted to it. This is focused on generating the likely effect on the scenario of
absolute solution in effect of the corporate governance and recommendation are provided for the
betterment of the company. The pure sort of adoption on the eight ASX corporate governance
principles is however assured in maintaining the influence structure of the project. Risk
assessment process, audit approach, auditing strategy, audit evidence are the attributes that are
basically implemented in conditioning with the analysis structure incorporated through it.
Discussion
Identification of eight types of ASX Corporate Governance
Principle 1 is entitled their focus on the benefit of laying a concrete foundation for management
and oversight issues.
Principle 2 is focused on creating the structure in lieu of boarding the added value in creating the
production.

4Discussion
Audit Assurance and Compliance
Principle 3 is focused in promoting proper source of ethical value and responsible
foundation in the decision-making process.
Principle 4 is focused on identifying safeguard integrity in the source of financial
reporting rendering the task associated to it.
Principle 5 is rendered to issue in making timely and undergoing with balanced sort of
disclosure of the resources which are associated to it.
Principle 6 speaks about respecting and following the risk with ensuring proper sort of
management of risk.
Principle 7 generally speaks about the recognition and implementing the proper rights
associated with the conditioning of the rights included and influenced to the shareholders of the
company.
Principle 8 is recognized with the conditioning of the generic study of the fairly process
in the context of the remuneration policy that is being adjusted with the significance of better
responsibility of the business entity.
Corporate governance is rendered as the system which is the framework of different sort
of rules, relationships, systems and other type of processes that are being indulged with the
process of authority in Australian Accounting. It is focused to encompass the different sort of
mechanism, which is being reflected by other companies in the country, by following up the
footsteps under the accounting standard. It is focused on developing the standards for meeting up
the objectives; risk assertion is also involved in monitoring and assessing the significance of the

5Discussion
Audit Assurance and Compliance
risk. After analyzing it properly, the people focuses on endorsing the theory to imply it
effectively for the betterment of the company. The efficient corporate governance structure also
helps in generating and creating better opportunities and enhancing higher values of the
employees within the company. However, by following the principle every company can
undergo with effective innovation system, accountability, exploration and also implementing the
process of effective performance associated with it.
It is focused on practicing the valuable resource by evolving through the perfect effect of
changing source of light in the emerging circumstances of the company that is basically tailored
in meeting up the development of realizing the circumstances. It also encountered within the
different sort of companies in Australia and also it is practiced in other countries where the
subsidiaries are located overseas. Each of the principle are basically explained perfectly in order
to ensure the productivity of organization who are continuously changing with evolving with the
technologies that are being associated in relating to the implementation of the organic structure.
There are certain sort of recommendations that are introduced by the Australian standard of
accounting council in context of development throughout the overall scenarios rendered into the
situation. Certain failure in corporate decision-making associated with each and every company
that they actually associated with usual transaction of ideas among all the barnstormers.
Verifying the usual concept and framework in relation to the interest of them of being set by
following the needs and requirements that is endorsed with the acknowledgement of them.
Principle 1
Laying solid foundation for management and the oversight

6Discussion
Audit Assurance and Compliance
Strategic guidance shall be recognized by the directors of the company in order to direct
the company with effective strategy on focusing the management technique. Solid structure is
required to be implemented by the company so that it will not submerge very easily whereas they
will fight hard with the generic structure of the company and after following with the effective
concept in order to facilitate the board of directors by helping out with proper data about the
currents scenario of the company.
Recommendations
Boards are required to adopt the formal statement of the matters that are indulged with
the generic reserve that are enacted by them in providing such responsibilities with issuing
different sort of formal statements. It is also recommended that division of responsibility shall be
disclosed by helping them out with the proper3 affected designed by the corporate decisions
incorporated to make them understandable with reporting by proper mentioned data in apportion
to it. The responsibility assorted through the specific scenario representation aligned with
apportion ate data in lieu of the independent data in making them understandable according to
the needs of the company. Different divisions of the business are structured to segregate tradition
and corporate thoughts within the company. One thing is made clear that anything practiced by
the company is just because of generating the greatness of it.
Principle 2
Structuring the board to add value
Companies are having a board which is an effective composition, size and appropriate
commitment in order to discharging the responsibility and the duties very effectively. It is

7Discussion
Audit Assurance and Compliance
described as one of the facility that is caused in effect of the discharging duties with in
accordance to the particular feedback of the type of competency which is focused to deal with
the emerging issues that are focused in the solution by rendering the current scenario in the
business house. It also exercises independent judgment which is very useful in making balance
of the feedback coming towards the functional judgment of the organization. It maintains
enhanced and generic performance of the organization very effectively. It is done in order to
secure the administration functioning smoothly and focusing on the secured service of
rectification by statement to follow the resourceful optimum output incurred by the company.
Lastly, structure is maintained in order to review the performance of the management to secure
proper apportion of duties and responsibility in accordance to effective solution of the business
function (Campbell et al. 2019). Challenges faced by the organization are rendered in the process
to acknowledge the benefit by restructuring formats generated by them.
Recommendations
All the directors are required to bring out the independent judgment whether they are
accorded as independent directors or whether they are basically normal directors. This is required
in accordance for benefitting the company to undertake decisions quite effectively. It is
recommended that there is requirement where the board of directors must have the access in
terms of generating professional advice by them for the development of the company (Blunden et
al. 2018). However, non-executive directors shall also consider benefits of the company by
undergoing with conferring ability without the present of the management that is particularly
scheduled at all sessions. Relationships which might be effecting the independent status are
scheduled as the functioning set up for the associative study where directors are considered as
the board which is mainly identified as the independent in the source of corporate governance. It

8Discussion
Audit Assurance and Compliance
is also signified with the resourceful of annual report statement that is being accorded by them
with existence of the relationship that is disclosed with the cause of existence in the form of
important materiality. The role of chair for regaining the association of curtaining the value of
power, efficiency is needed in generating value in organization where they must be able to
conduct the functioning of board of directors. It shall also facilitate the contribution scope to
perform the directorate and constructive relations between the board and management (Coghlan.
2019). The role of chair accumulating in the value of demand to take significance in the context
of absorbing of time and it also generates effective value in considering the role of authenticity.
Principle 3
Ethical and responsible decision-making
Focused to make ethical and responsible decision-making where companies do not
comply with legal obligations. It also consider all sort of reasonable expectation identifying with
stakeholders but also including customer, suppliers, creditors, consumers, suppliers, creditors
and many others (Coombs and Laufer. 2018). Clarity of maintaining the standards with holding
the concept of circumstances in identifying for demonstrating the appropriate corporate practices
and also decision making (Kieso, Weygandt and Warfield. 2019).
Recommendations
Practices which are necessary for maintaining confidence in the integrity of company. It
is also developed in maintaining the account for maintaining legal obligations and reasonable
stakeholders.
Principle 4

9Discussion
Audit Assurance and Compliance
Safeguarding the integrity in the reporting and also promoting the structure where
safeguarding is practiced of their financial reporting. The structure of maintaining the formation
of the report in association with conception through the company implementation is absolutely
practiced perfectly (Blazevic, Reypens and Lievens. 2019). Consideration of the review
technique is practiced perfectly in this principal where external auditors are considered as the
most competent usage in the allocation of the auditors.
Recommendations
It can be recommended that auditor committee must posses with efficient charters in their
firms who are disclosed as the most literate person in the company with understanding of the
financial statements very effectively (Morana and Sbrana, 2018). Qualifications and experience
underwent through the selective professional attire is segmented by the accounting matters.
Chartered are advised to undergo with proper roles and responsibility and also maintaining the
procedure in order to attend the meetings with complying both the internal and external
conditions without considering the management issues.
Principle 5
Make timely and making balance with disclosure
Companies are focused in producing mechanism whereby designing the compliance with
the rule and procedure that is being underwent with the system. All the investors are associated
with the investors being very much secure in order to access the materialistic information.
Financial position, performance and ownership with proper governance is also functioned by
them to reduce the negative information (Hay et al. 2017).

10Discussion
Audit Assurance and Compliance
Recommendation
Companies are recommended with writing the policies which is designed in ensuring
accountability version of senior executive level for the disclosure of different sort of policies of
maintaining summaries. It is also recommended that authorization and processes for designing
the conceptual in company announcement.
Principal 6
Respecting the rights of shares
Companies are entitled to respect the right of the shares by empowering the shareholders
in communicating effectively with the team (Friston. 2019). Readily access in cause of balancing
figure by encouraging shareholders in order, promoting effort in business association with what
actually happening in market.
Recommendation
Electronic communication within the company is focused to inherit perfectly for
obtaining the substantial process with referring the shareholders. Website must be maintained by
the company in order to encourage the clients within the electronic methods that is very crucial
for them to collect the relevant information that are available in website. E-mail shall be
practiced by them to focus on the website formulation offered by them which helps to maintain
the contact with clients effectively.

11Discussion
Audit Assurance and Compliance
Principal 8
Remunerate fairly and responsibly
The composition of remuneration and also ensuring the level of compliance with
imposing the sufficient skills with reasonable performance that is focused in relationship which
is very clear. Enabling to the process of creating a better transition for the employees which
effects to ensure that these are the embracing situations that brings work motivation for the
employees of the company (Stivers et al. 2018). Ultimate responsibility that is being shared
among all the employees is rendered through the genuine process of updating in business
function.
Recommendation
Remuneration policy is designed to maintain policy in such way that is recommended in
motivating to undergo with the long-term growth and the success of the company. It also helps to
demonstrate a clear stats relationship between the executives of the business with considering the
payment and performance attribute.
Adoption of corporate governance
Principal 1
Strategic guidance is recognized through the directors of company where it directs
company by effective strategy in focusing on management technique (Cao et al. 2019). Proper
structure required to implement by company which will not go down easily whereas they will
fight with generic structure of company and after following the effective concept in focus to