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If there is a change in accounting principle, how will this affect the auditors report?

April 26, 2017Accounting affect auditors Principle report

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If there is a change in accounting principle, how will this affect the auditors report?

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Changes in accounting principle, which have a material impact on the financial statements, require recognition in the independent auditors report through an explanatory paragraph following the opinion paragraph (AU420.05). The explanatory paragraph should identify the nature of the change and refer the reader to the note in the financial statements that discusses the change in detail. (AU508.

0

Posted

Changes in accounting principle, which have a material impact on the financial statements, require recognition in the independent auditors report through an explanatory paragraph following the opinion paragraph (AU420.05). The explanatory paragraph should identify the nature of the change and refer the reader to the note in the financial statements that discusses the change in detail.