dear tutor,
the following are mentioned as two different matters that an auditor needs to consider in order to obtain an understanding of the entity:
1.Legislation and regulation
2.Regulatory framework
but i cannot fathom as to how are the two different?
Ask the Tutor ACCA AA
understanding the entity
1, "legislation [i.e. an "Act" of Parliament] and regulation [statutory instruments and other rules that support the implementation of the Act]" - the distinction is not relevant to AA
2. In the context of understand the entity this should now be described as "the applicable financial reporting framework" - which we discussed here https://opentuition.com/topic/fr-framework-and-professional-standards
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