In SA 710 Comparative corresponding figures me jb misstatements h th ye thda bhot SA560 jesa Ni h that facts come to knowledge of auditor that impact the opinion given in prior yr. Pls let me clear wid this doubt

8 answers

didnt understand question please elaborate here in answer section

Audit Staff September 2, 2017

In SA 710 when we find material misstatements in comparatives or corresponding figures then what to do. (more…)

Audit Staff September 2, 2017

Since you found such misstatement subsequently in the next year the procedures to be performed is according to SA 560 or as per 710 as you have presented there in the chart

Audit Staff September 6, 2017

Reply to this doubt sr


we have to apply SA 560 only when we were auditor of previous year also and further revision of financial year must be allowed. in india we cannot revise financial statements any time we want it can happen only as per Sec 130 and Sec 131. so if revision is allowed then follow SA 560 if not follow SA 710 

Audit Staff September 12, 2017

Sir practically if such facts came to know after year end or whatever not events only facts, it will affect the dignity of CA firm or individual CA and the profession 

Audit Staff September 12, 2017

If mgmt. denies to revise 


SA 560 will be applied only if legally it is possible to revise financial statement. if not this matter will be dealt as rectification in current year under SA 710.
now if misstatements of previous years are identified, that will not lead to immediate conclusion that auditor’s were at fault. we will have to see circumstances, if ca firm worked diligently applying all SAs / Law / Regulations etc and obtained sufficient evidence then he is not responsible for hidden misstatements (fraudulent or erroneous)    


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