One of the biggest change to the auditor’s report is the communication of KAMs. KAMs will provide an opportunity to the auditors’ to share the matters that their judgement were of most significance in the audit of the current period financial statements. The auditors’ of the listed companies are mandatorily required to communicate KAM(s) in the auditor’s report.
This section contains compilation of illustrative KAMs, extracted by the Technical Services Department from the auditor’s reports of over fifty international entities.
These KAMs have been compiled in 25 different sectors, and are for the members facilitation and illustrative purposes only. ISA 701 requires the description of a KAM(s) to be tailored to the facts and circumstances of the individual audit engagement and the entity in order to provide relevant and meaningful information to investors and other users of the auditor’s report.
- Building Materials Manufacturers (Cement and Steel)
- Certification and Testing
- Distribution Company
- FMCG (including Beverages)
- Funds & Investment Companies
- Intelligence, Publishing and Event Management
- Oil & Gas / Minerals Exploration & Production
- Power and Energy
- Tourism and Hospitality