ACCA AA Syllabus B. Planning And Risk Assessment - Engagement letter - Notes 4 / 10
An engagement letter is a letter from the auditor to the client indicating various matters concerning the engagement
The engagement letter is sent before the audit to the client confirming their acceptance of the audit
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Contents
ISA 210 Terms of Engagement gives guidance as to their content, but as a rule most will include:
The Objective of the audit.
Managements’ responsibility for the Financial Statements.
The scope of the audit including reference to legislation and professional standards.
The form of report to be used
Use of the work of internal audit
Reference to inherent limitations of an audit
Access to information to be allowed
Deadlines and confidentiality
Expectations of management representations
Fees
Complaints procedures
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Syllabus B. Planning And Risk Assessment
B1. Obtaining and accepting audit engagements
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Syllabus B. Planning And Risk Assessment
B1. Obtaining and accepting audit engagements