Affiliated groups/subsidiaries consist of legally independent firms that are controlled by the same parent. They are also required to ensure that auditors conducting audits of subsidiaries of the audit have enough competence and expertise in conducting their component of the audit. However, there is no agreement by regulators as to whether it is more effective and efficient for components of the audit to be completed by the same audit firm or different audit firms.

What are the disadvantages of the auditors of the subsidiary being from the same audit firm such as PwC Australia, Deloitte Australia, KPMG Australia, Ernst and Young Australia.

Is it reasonable to expect one auditor to be responsible for the full audit when there are more than 500 subsidiaries in a group?

Should the auditors of the subsidiary be from the same network auditing firms?

What are the benefits of the subsidiary auditor being from the same network auditing firm?