ASA_701_Explanatory_Statement_2015_81927991.pdf - ASA 701...

ASA 701
(December 2015)
Explanatory Statement
ASA 701 Communicating Key Audit Matters
in the Independent Auditor’s Report
Issued by the Auditing and Assurance Standards Board

ASA 701 - 2 - EXPLANATORY STATEMENT
Obtaining a Copy of this Explanatory Statement
This Explanatory Statement is available on the Auditing and Assurance Standards Board (AUASB)
website:
Contact Details
Auditing and Assurance Standards Board
Podium Level
Level 14, 530 Collins Street
Melbourne Victoria 3000
AUSTRALIA
Phone: [phone]
E-mail: [email protected]
Postal Address:
PO Box 204
Collins Street West
Melbourne Victoria 8007
AUSTRALIA

Explanatory Statement ASA 701 Communicating Key Audit Matters in the Independent Auditor’s
Report
ASA 701 - 3 - EXPLANATORY STATEMENT
Reasons for Issuing Auditing Standard ASA 701
The AUASB issues Auditing Standard ASA 701 Communicating Key Audit Matters in the
Independent Auditor’s Report pursuant to the requirements of the legislative provisions and the
Strategic Direction explained below.
The AUASB is an independent statutory committee of the Australian Government established under
section 227A of the Australian Securities and Investments Commission Act 2001 , as amended
(ASIC Act). Under section 336 of the Corporations Act 2001 , the AUASB may make Auditing
Standards for the purposes of the corporations legislation. These Auditing Standards are legislative
instruments under the Legislative Instruments Act 2003 .
Under the Strategic Direction given to the AUASB by the Financial Reporting Council (FRC), the
AUASB is required, inter alia, to develop auditing standards that have a clear public interest focus and
are of the highest quality.
The Auditing Standard conforms with ISA 701 Communicating Key Audit Matters in the Independent
Auditor’s Report issued by the International Auditing and Assurance Standard Board.