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[The following footnotes were effective for audits of financial statements for periods beginning on or after December 15, 2002. They were deleted, effective for audits of fiscal years beginning on or after December 15, 2010. See PCAOB Release No. 2010-004.

Return to the current version.]


fn 26 As discussed in paragraph .09, auditors are not trained as or expected to be experts in the authentication of documents; however, if the auditor believes that documents may not be authentic, he or she should investigate further and consider using the work of a specialist to determine the authenticity.

fn 27 Denial of access to information may constitute a limitation on the scope of the audit that may require the auditor to consider qualifying or disclaiming an opinion on the financial statements. (See section 508, Reports on Audited Financial Statements, paragraph .24.)

fn 28 To accomplish this communication, the auditor with final responsibility for the audit may want to arrange another discussion among audit team members about the risks of material misstatement due to fraud (see paragraphs .14 through .18).

fn 29 See footnote 4.

fn 30 Section 312.34 states in part, "Qualitative considerations also influence the auditor in reaching a conclusion as to whether misstatements are material." Section 312.11 states, "As a result of the interaction of quantitative and qualitative considerations in materiality judgments, misstatements of relatively small amounts that come to the auditor's attention could have a material effect on the financial statements."

fn 31 However, see paragraphs .79 through .82 of this section for a discussion of the auditor's communication responsibilities.

fn 32 Section 312.08 states that there is a distinction between the auditor's response to detected misstatements due to error and those due to fraud. When fraud is detected, the auditor should consider the implications for the integrity of management or employees and the possible effect on other aspects of the audit.

fn 33 See section 508 for guidance on auditors' reports issued in connection with audits of financial statements.

fn 34 If the auditor believes senior management may be involved, discussion of the matter directly with the audit committee may be appropriate.

fn 35 See footnote 11.

fn 36 If the auditor, subsequent to the date of the report on the audited financial statements, becomes aware that facts existed at that date that might have affected the report had the auditor been aware of such facts, the auditor should refer to section 561, Subsequent Discovery of Facts Existing at the Date of the Auditor's Report, for guidance. Furthermore, section 315, Communications Between Predecessor and Successor Auditors, paragraphs .21 and .22, provide guidance regarding communication with a predecessor auditor.