ISA 450 - Evaluation of misstatements identified during the audit

ISA 450 deals with objectives and requirements relating to the evaluation the effect of identified misstatements on the audit and of uncorrected misstatements on the financial statements.

These requirements include:

·        Accumulation of identified misstatements.

·        Consideration of identified misstatements as the audit progresses.

·        Communication and correction of misstatements.

·        Evaluating the effect of uncorrected misstatements.

·        Written representations from management or those charged with governance.

·        Documentation of the process of evaluation of misstatements. 

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