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Global developments relating to the COVID-19 pandemic have impacted the work of auditors and continues to do so in the year 2021. Uncertainty and unpredictability
Global developments relating to the COVID-19 pandemic have impacted the work of auditors and continues to do so in the year 2021. Uncertainty and unpredictability may create risks of material misstatement that are new or intensified. When planning the audit, auditors need to consider thes risks or may have to consider identifying risks differently. Risks include the going concern assumption regarding an entity's ability to maintain operations in the foreseeable future, which may no longer be appropriate. Auditors will still be responsible to plan and perform these audits in accordance to the Internationa Standards on Auditing however they may have to change the manner in which they obtain sufficient appropriate audit evidence on which to base the audit opinion. Required: Discuss how the COVID-19 has affected the way in which auditors may need to plan an audit. Include in your discussion how the pandemic has an: Effect on the assessment of the risk of material misstatement. Effect on the auditor's determination of materiality. Effect on the audit strategy and audit plan including the nature, timing and extent of procedures
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