Group audit
A group audit is an audit of group financial statements that includes the financial information of more than one entity or business unit. Under ISA 600 (Revised), the group auditor directs the engagement and determines involvement of component auditors using a risk-based approach.
Worked example
A group team communicates risk and evidence requirements to a component auditor and evaluates the work relevant to group conclusions.
Common mistake
The group engagement partner retains overall responsibility for the group audit opinion; responsibility is not passed to component auditors.
Where it appears in your exams
| Qualification | Exam | Relationship | Period |
|---|---|---|---|
| ACCA | AAA (INT) | Direct | September 2026–June 2027 |