ACCA Strategic Professional · Advanced Audit and Assurance (International) · Developments in sustainability assurance

Zenara Co, a listed manufacturer, asks Corvin & Partners to report on its sustainability information. The engagement team will apply ISSA 5000 and is considering the difference between limited and reasonable assurance. Which statement about the two levels of assurance under ISSA 5000 is correct?

Limited assurance provides a lower, though still meaningful, level of assurance than reasonable assurance, because the practitioner performs less extensive procedures. Reasonable assurance is high but not absolute. The levels differ in the nature, timing and extent of evidence-gathering, not merely in the materiality threshold applied.

1. ALimited assurance gives a lower level of assurance than reasonable assurance, and the practitioner's procedures are less extensive but still designed to obtain a meaningful level of assurance.Correct
2. BLimited assurance requires the same evidence-gathering procedures as reasonable assurance but with a higher materiality threshold only.
3. CReasonable assurance is an absolute guarantee that the sustainability information contains no misstatement.
4. DLimited assurance is permitted only where the sustainability information is entirely qualitative.