Auditing going concern and material uncertainties

Objectives

The going concern assumption impacts on the presentation of the financial statements and further disclosures may be required where a material uncertainty exists. Auditors must comply with the requirements in ISA 570 Going concern, which has recently been revised, and ensure sufficient and appropriate evidence supports management’s assumption.

The coronavirus pandemic continues to impact businesses and potentially increases going concern risks for many entities. Auditors must apply professional scepticism when auditing this area.

This webinar will cover the principal requirements for auditing going concern and the responsibilities of the auditor, complying with the revised ISA 570. It shall consider some of the challenges auditors may face.

Key Topics

This webinar will cover the following key areas:

• The practical approach to complying with ISA 570
• Indicators of potential going concern issues
• Examples of audit procedures on cash flow forecasts, including the impact of current conditions
• Identifying any additional business risks
• Applying professional scepticism and judgement in drawing conclusions on the going concern assumption and any material uncertainty disclosures required
• The impact on the audit report and related disclosures
• Concluding on the going concern assumption

Who Should Attend?

This webinar is aimed at all levels of staff involved in auditing financial statements