Skip to content

ACCA Strategic Professional · Advanced Audit and Assurance (International) · Group audits

Zephyr Group's auditor, Marlowe & Co, is the group engagement team for the audit of consolidated financial statements. Under ISA 600 (Revised), who has sole responsibility for the group audit opinion?

The group engagement partner is solely responsible for the group audit opinion. Using component auditors does not reduce that responsibility, because the partner must direct, supervise and review their work and be satisfied the evidence obtained is sufficient and appropriate.

  1. AThe group engagement partner, even where component auditors have performed workCorrect
  2. BEach component auditor, for the component it audited
  3. CThe group's management, supported by the component auditors
  4. DThe component auditor of the most material component

Explanation

ISA 600 (Revised) makes the group engagement partner responsible for the direction, supervision and performance of the group audit and for the opinion. Reference to component auditors in the audit report is not permitted to reduce this responsibility. Component auditors do not share responsibility for the group opinion.

Did you get it right without looking?

One question tells you little. A timed set on Group audits shows your real accuracy, how long you take and where you lose marks.

Practise Group auditsFree diagnostic mock

More Group audits questions