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AU-C 805 Special Considerations—Audits of Single Financial Statements and Specific Elements, Accounts, or Items of a Financial Statement

AU-C ORIGINAL PRONOUNCEMENT

Original Pronouncement

Statement on Auditing Standard (SAS) 122.

AU-C DEFINITIONS OF TERMS

AU-C 805 does not contain any definitions, but does provide the following guidance in AU-C 805.06).

For purposes of this section, reference to

1. an element of a financial statement or an element means an element, account, or item of a financial statement.
2. a single financial statement or a specific element of a financial statement includes the related notes. The related notes ordinarily comprise a summary of significant accounting policies and other explanatory information relevant to the financial statement or the specific element.

OBJECTIVES OF AU-C SECTION 805

AU-C 805.05 states that:

… the objective of the auditor, when applying generally accepted auditing standards (GAAS) in an audit of a single financial statement or of a specific element, account, or item of a financial statement, is to address appropriately the special considerations that are relevant to

1. the acceptance of the engagement;
2. the planning and performance of that engagement; and
3. forming an opinion and reporting on the single financial statement or the specific element, account, or item of a financial statement.

SCOPE

This section applies to auditor's reports issued in connection with audit of a single financial statement or of a specific element, ...