AuditingandAssuranceStandardsCouncil

PhilippineStandardonAuditing230(Redrafted)AUDIT

DOCUMENTATION
PHILIPPINESTANDARDONAUDITING230(REDRAFTED)
AUDITDOCUMENTATION
(Effectiveforauditsoffinancialstatementsforperiodsbeginning onorafterDecember15,200
9)

CONTENTS
Paragraph
Introduction
ScopeofthisPSA............................................................................
..................
EffectiveDate...............................................................................
.....................
Objective.....................................................................................
......................
Definitions...................................................................................
......................
Requirements
TimelyPreparationofAuditDocumentation....................................
.................
DocumentationoftheAuditProceduresPerformedandAudit

13

4
5
6

EvidenceObtained........................................................................
813
.........
AssemblyoftheFinalAuditFile........................................................
1416
...............
ApplicationandOtherExplanatoryMaterial
TimelyPreparationofAuditDocumentation....................................
A1
.................
DocumentationoftheAuditProceduresPerformed
andAuditEvidenceObtained.........................................................
.......
A2A20

AssemblyoftheFinalAuditFile...........................................................
...........A21A24
Acknowledgment
Appendix:SpecificAuditDocumentationRequirementsinOtherPSAs
PhilippineStandardonAuditing(PSA)230(Redrafted),AuditDocume
ntation,shouldbereadinconjunctionwith[proposed]PSA200(Revise
dandRedrafted),OverallObjectiveoftheIndependentAuditor,andth
eConductofanAuditinAccordancewithPhilippineStandardsonAuditi
ng.

Introduction
ScopeofthisPSA
1.
ThisPhilippineStandardonAuditing(PSA)dealswiththeauditorsresp
onsibilitytoprepareauditdocumentationforanauditoffinancialstate
ments.Itistobeadaptedasnecessaryinthecircumstanceswhenappli
edtoauditsofotherhistoricalfinancialinformation.TheAppendixlists
otherPSAsthatcontainspecificdocumentationrequirementsandgui
dance.ThespecificdocumentationrequirementsofotherPSAsdonotli
mittheapplicationofthisPSA.Lawsorregulationsmayestablishadditi
onaldocumentationrequirements.
NatureandPurposesofAuditDocumentation
2.
AuditdocumentationthatmeetstherequirementsofthisPSAandt
hespecificdocumentationrequirementsofotherrelevantPSAspr
ovides:

(a)

Evidenceoftheauditorsbasisforaconclusionabouttheachievement
oftheoverallobjectiveoftheauditor;and
(b)
Evidencethattheauditwasplannedandperformedinaccordancewith
PSAsandapplicablelegalandregulatoryrequirements.

3.
Auditdocumentationservesanumberofadditionalpurposes,in
cludingthefollowing:

1
2

Assistingtheengagementteamtoplanandperformtheaudit.
Assistingmembersoftheengagementteamresponsibleforsupervisi
ontodirectandsupervisetheauditwork,andtodischargetheirreview
1

responsibilitiesinaccordancewith[proposed]PSA220(Redraft
ed).
Enablingtheengagementteamtobeaccountableforitswork.
Retainingarecordofmattersofcontinuingsignificancetofutureaudits
.
Enablingtheconductofqualitycontrolreviewsandinspectionsin
2

accordancewith[proposed]PSQC1(Redrafted).

Enablingtheconductofexternalinspectionsinaccordancewith
applicablelegal,regulatoryorotherrequirements.
1
[Proposed]PSA220 (Redrafted),QualityControlforanAuditofFinancialStatements,para
graphs[1417].
2

[Proposed]PSQC1(Redrafted),QualityControlforFirmsthatPerformAu
ditsandReviewsofFinancialStatements,andOtherAssuranceandRelat
edServicesEngagements,paragraphs[41,4345,and5556].
EffectiveDate

4.
ThisPSAiseffectiveforauditsoffinancialstatementsforperiodsbegin
ningonorafterDecember15,2009.

Objective
5.

Theobjectiveoftheauditoristopreparedocumentationthatprovides:

(a)

Asufficientandappropriaterecordofthebasisfortheauditorsreport;
and
(b)
Evidencethattheauditwasplannedandperformedinaccordancewith
PSAsandapplicablelegalandregulatoryrequirements.

Definitions
6.
ForpurposesofthePSAs,thefollowingtermshavethemeanings
attributedbelow:

(a)
Auditdocumentation
Therecordofauditproceduresperformed,relevantauditevidenceobt
ained,andconclusionstheauditorreached(termssuchasworkingpa
persorworkpapersarealsosometimesused).
(b)
Auditfile
Oneormorefoldersorotherstoragemedia,inphysicalorelectronicfor
m,containingtherecordsthatcomprisetheauditdocumentationfora
specificengagement.
1. (c) Experiencedauditor
Anindividual(whetherinternalorexternaltothefirm)whohasprac
ticalauditexperience,andareasonableunderstandingof:
2. (i) Auditprocesses;
3. (ii) PSAsandapplicablelegalandregulatoryrequirements;
(iii)
Thebusinessenvironmentinwhichtheentityoperates;a
nd
(iv)
Auditingandfinancialreportingissuesrelevanttoth

eentitysindustry.

RequirementsTimelyPreparationofAuditDocumentation
7.

Theauditorshallprepareauditdocumentationonatimelybasis.
(Ref:Para.A1)

DocumentationoftheAuditProceduresPerformedandAuditEvidenceObtai
ned
Form,ContentandExtentofAuditDocumentation
8.
Theauditorshallprepareauditdocumentationthatissufficienttoenab
lean
experiencedauditor,havingnopreviousconnectionwiththeaudit,to
understand:(Ref:Para.A2A5,A16A17)

1. (a)

Thenature,timing,andextentoftheauditproceduresperformedto
2. complywiththePSAsandapplicablelegalandregulatoryrequirem
ents;(Ref:Para.A6A7)
(b)

Theresultsoftheauditproceduresperformed,andtheauditevidenceo
btained;and
(c)
Significantmattersarisingduringtheaudit,theconclusionsreachedt
hereon,andsignificantprofessionaljudgmentsmadeinreachingthos
econclusions.(Ref:Para.A8A11)

9.
Indocumentingthenature,timingandextentofauditproceduresper
formed,theauditorshallrecord:

(a)
Theidentifyingcharacteristicsofthespecificitemsormatterstested;
(Ref:Para.A12)

(b)

Whoperformedtheauditworkandthedatesuchworkwascompleted;
and
(c)

Whoreviewedtheauditworkperformedandthedateandextentofsuc
hreview.(Ref:Para.A13)
10.
Theauditorshalldocumentdiscussionsofsignificantmatterswithma
nagement,thosechargedwithgovernance,andothers,includingthe
natureofthesignificantmattersdiscussedandwhenandwithwhomt
hediscussionstookplace.(Ref:Para.
A14)

11.
Iftheauditoridentifiedinformationthatisinconsistentwiththeaudi
torsfinalconclusionregardingasignificantmatter,theauditorsha
lldocumenthowtheauditoraddressedtheinconsistency.
(Ref:Para.A15)

DeparturefromaRelevantRequirement
12.
If,inexceptionalcircumstances,theauditorjudgesitnecessarytode
partfromarelevantrequirementinaPSA,theauditorshalldocument
howthealternativeauditproceduresperformedachievetheaimofth
atrequirement,andthereasonsforthedeparture.(Ref:Para.A18A19)
MattersArisingaftertheDateoftheAuditorsReport
13.
If,inexceptionalcircumstances,theauditorperformsneworadditi
onalauditproceduresordrawsnewconclusionsafterthedateofth
eauditorsreport,theauditorshalldocument: (Ref:Para.A20)
1 (a)
Thecircumstancesencountered;
2 (b)

Theneworadditionalauditproceduresperformed,auditevidenceobt
ained,andconclusionsreached,andtheireffectontheauditorsreport
;and
(c)
Whenandbywhomtheresultingchangestoauditdocumentationwer
emadeandreviewed.

AssemblyoftheFinalAuditFile

1
2
3

Theauditorshallassembletheauditdocumentationinanauditfileand
completetheadministrativeprocessofassemblingthefinalauditfileo
natimelybasisafterthedateoftheauditorsreport. (Ref:Para.A21A22)
Aftertheassemblyofthefinalauditfilehasbeencompleted,theauditor
shallnotdeleteordiscardauditdocumentationofanynaturebeforeth
eendofitsretentionperiod.(Ref:Para.A23)
IncircumstancesotherthanthoseenvPSAgedinparagraph13wheret
heauditorfindsitnecessarytomodifyexistingauditdocumentationor
addnewauditdocumentationaftertheassemblyofthefinalauditfileh
asbeencompleted,theauditorshall,regardlessofthenatureofthemo
dificationsoradditions,document:
(Ref:Para.A24)

1
2

(a)
(b)

Thespecificreasonsformakingthem;and
Whenandbywhomtheyweremadeandreviewed.***

ApplicationandOtherExplanatoryMaterial
TimelyPreparationofAuditDocumentation(Ref:Para.7)
A1.Preparingsufficientandappropriateauditdocumentationonatimelybasi
shelpstoenhancethequalityoftheauditandfacilitatestheeffectivere
viewandevaluationoftheauditevidenceobtainedandconclusionsrea
chedbeforetheauditorsreportisfinalized.Documentationprepared
aftertheauditworkhasbeenperformedislikelytobelessaccuratethan
documentationpreparedatthetimesuchworkisperformed.
DocumentationoftheAuditProceduresPerformedandAuditEvidenceObtai
ned
Form,ContentandExtentofAuditDocumentation(Ref:Para.8)A2.Theform,co
ntentandextentofauditdocumentationdependonfactorssuchas:
Thesizeandcomplexityoftheentity.
Thenatureoftheauditprocedurestobeperformed.
Theidentifiedrisksofmaterialmisstatement.
Thesignificanceoftheauditevidenceobtained.
Thenatureandextentofexceptionsidentified.
Theneedtodocumentaconclusionorthebasisforaconclusionnotrea
dilydeterminablefromthedocumentationoftheworkperformedorau
ditevidenceobtained.
Theauditmethodologyandtoolsused.
A3.Auditdocumentationmayberecordedonpaperoronelectronicorother

media.Examplesofauditdocumentationinclude:

1
2
3
4
5
6
7

Auditprograms.
Analyses.
Issuesmemoranda.
Summariesofsignificantmatters.
Lettersofconfirmationandrepresentation.
Checklists.
Correspondence(includingemail)concerningsignificantmatters.
Theauditormayincludeabstractsorcopiesoftheentitysrecords(for
example,significantandspecificcontractsandagreements)asparto
fauditdocumentation.Auditdocumentation,however,isnotasubstit
utefortheentitysaccountingrecords.

A4.Theauditorneednotincludeinauditdocumentationsupersededdraftsof
workingpapersandfinancialstatements,notesthatreflectincomplet
eorpreliminarythinking,previouscopiesofdocumentscorrectedforty
pographicalorothererrors,andduplicatesofdocuments.
A5.Oralexplanationsbytheauditor,ontheirown,donotrepresentadequate
supportfortheworktheauditorperformedorconclusionstheauditorr
eached,butmaybeusedtoexplainorclarifyinformationcontainedint
heauditdocumentation.
DocumentationofCompliancewithPSAs(Ref:Para.8(a))
A6.Inprinciple,compliancewiththerequirementsofthisPSAwillresultinthea
uditdocumentationbeingsufficientandappropriateinthecircumstan
ces.OtherPSAscontainspecificdocumentationrequirementsthatare
intendedtoclarifytheapplicationofthisPSAintheparticularcircumsta
ncesofthoseotherPSAs.Thespecificdocumentationrequirementsof
otherPSAsdonotlimittheapplicationofthisPSA.Furthermore,theabs
enceofadocumentationrequirementinanyparticularPSAisnotintend
edtosuggestthatthereisnodocumentationthatwillbepreparedasare
sultofcomplyingwiththatPSA.
A7.AuditdocumentationprovidesevidencethattheauditcomplieswiththeP
SAs.However,itisneithernecessarynorpracticablefortheauditortod
ocumenteverymatterconsidered,orprofessionaljudgmentmade,in
anaudit.Further,itisunnecessaryfortheauditortodocumentseparat
ely(asinachecklist,forexample)compliancewithmattersforwhichco
mplianceisdemonstratedbydocumentsincludedwithintheauditfile.
Forexample:
Theexistenceofanadequatelydocumentedauditplandemonstrates
thattheauditorhasplannedtheaudit.
Theexistenceofasignedengagementletterintheauditfiledemonstra

testhattheauditorhasagreedthetermsoftheauditengagementwith
managementor,whereappropriate,thosechargedwithgovernance.
Anauditorsreportcontaininganappropriatelyqualifiedopiniondem
onstratesthattheauditorhascompliedwiththerequirementtoexpres
saqualifiedopinionunderthecircumstancesspecifiedinthePSAs.
1
Inrelationtorequirementsthatapplygenerallythroughouttheaud
it,theremaybeanumberofwaysinwhichcompliancewiththemma
ybedemonstratedwithintheauditfile:
Forexample,theremaybenosinglewayinwhichtheauditorspr
ofessionalskepticismisdocumented.Buttheauditdocumenta
tionmayneverthelessprovideevidenceoftheauditorsexercis
eofprofessionalskepticisminaccordancewiththePSAs.Suche
videncemayincludespecificproceduresperformedtocorrobo
ratemanagementsresponsestotheauditorsinquiries.
Similarly,thattheengagementpartnerhastakenresponsibilit
yforthedirection,supervisionandperformanceoftheauditinc
ompliancewiththePSAsmaybeevidencedinanumberofways
withintheauditdocumentation.Thismayincludedocumentati
onoftheengagementpartnerstimelyinvolvementinaspects
oftheaudit,suchasparticipationintheteamdiscussionsrequir
edby
PSA315(Redrafted).

PSA315 (Redrafted),Identifying and AssessingtheRisksofMaterialMisstatementThroug

h UnderstandingtheEntityand ItsEnvironment,paragraph10.

DocumentationofSignificantMattersandRelatedSignificantProfessiona
lJudgments(Ref:Para.8(c))
A8.Judgingthesignificanceofamatterrequiresanobjectiveanalysisofthefa
ctsandcircumstances.Examplesofsignificantmattersinclude:

1
2

3
4

Mattersthatgiverisetosignificantrisks(asdefinedinPSA315(Redraft
4
ed) ).
Resultsofauditproceduresindicating(a)thatthefinancialstatements
couldbemateriallymisstated,or(b)aneedtorevisetheauditorsprevi
ousassessmentoftherisksofmaterialmisstatementandtheauditors
responsestothoserisks.
Circumstancesthatcausetheauditorsignificantdifficultyinapplying
necessaryauditprocedures.
Findingsthatcouldresultinamodificationtotheauditopinionortheincl
usionofanEmphasisofMatterparagraphintheauditorsreport.

A9.Animportantfactorindeterminingtheform,contentandextentofauditdo
cumentationofsignificantmattersistheextentofprofessionaljudgme

ntexercisedinperformingtheworkandevaluatingtheresults.Docum
entationoftheprofessionaljudgmentsmade,wheresignificant,serve
stoexplaintheauditorsconclusionsandtoreinforcethequalityofthej
udgment.Suchmattersareofparticularinteresttothoseresponsiblef
orreviewingauditdocumentation,includingthosecarryingoutsubse
quentauditswhenreviewingmattersofcontinuingsignificance(forex
ample,whenperformingaretrospectivereviewofaccountingestimat
es).
A10.Someexamplesofcircumstancesinwhich,inaccordancewithparagra
ph8,itisappropriatetoprepareauditdocumentationrelatingtotheu
seofprofessionaljudgmentinclude,wherethemattersandjudgmen
tsaresignificant:
Therationalefortheauditorsconclusionwhenarequirementprovide
sthattheauditorshallconsidercertaininformationorfactors,andtha
tconsiderationissignificantinthecontextoftheparticularengageme
nt.
Thebasisfortheauditorsconclusiononthereasonablenessofareasof
subjectivejudgments(forexample,thereasonablenessofsignificant
accountingestimates).
Thebasisfortheauditorsconclusionsabouttheauthenticityofadocu
mentwhenfurtherinvestigation(suchasmakingappropriateuseofan
expertorofconfirmationprocedures)isundertakeninresponsetocon
ditionsidentifiedduringtheauditthatcausedtheauditortobelievetha
tthedocumentmaynotbeauthentic.
PSA315 (Redrafted),paragraph4(e).

A11.Theauditormayconsiderithelpfultoprepareandretainaspartoftheaudi
tdocumentationasummary(sometimesknownasacompletionmem
orandum)thatdescribesthesignificantmattersidentifiedduringthea
uditandhowtheywereaddressed,orthatincludescrossreferencestootherrelevantsupportingauditdocumentationthatprov
idessuchinformation.Suchasummarymayfacilitateeffectiveandeffi
cientreviewsandinspectionsoftheauditdocumentation,particularly
forlargeandcomplexaudits.Further,thepreparationofsuchasummar
ymayassisttheauditorsconsiderationofthesignificantmatters.Itma
yalsohelptheauditortoconsiderwhether,inlightoftheauditprocedur
esperformedandconclusionsreached,thereisanyindividualrelevant
PSAobjectivethattheauditorhasnotmetorisunabletomeetthatwoul
dpreventtheauditorfromachievingtheauditorsoverallobjective.
IdentificationofSpecificItemsorMattersTested,andofthePreparerandRevi
ewer(Ref:Para.9)
A12.Recordingtheidentifyingcharacteristicsservesanumberofpurpos
es.Forexample,itenablestheengagementteamtobeaccountabl

eforitsworkandfacilitatestheinvestigationofexceptionsorincon
sistencies.Identifyingcharacteristicswillvarywiththenatureofth
eauditprocedureandtheitemormattertested.Forexample:
Foradetailedtestofentitygeneratedpurchaseorders,theauditormayidentifythedocumentss
electedfortestingbytheirdatesanduniquepurchaseordernumbers.
Foraprocedurerequiringselectionorreviewofallitemsoveraspecifica
mountfromagivenpopulation,theauditormayrecordthescopeofthe
procedureandidentifythepopulation(forexample,alljournalentries
overaspecifiedamountfromthejournalregister).
Foraprocedurerequiringsystematicsamplingfromapopulationofdo
cuments,theauditormayidentifythedocumentsselectedbyrecordin
gtheirsource,thestartingpointandthesamplinginterval(forexample
,asystematicsampleofshippingreportsselectedfromtheshippinglo
gfortheperiodfromApril1toSeptember30,startingwithreportnumb
er12345andselectingevery125threport).
Foraprocedurerequiringinquiriesofspecificentitypersonnel,theaud
itormayrecordthedatesoftheinquiriesandthenamesandjobdesigna
tionsoftheentitypersonnel.
Foranobservationprocedure,theauditormayrecordtheprocessorm
atterbeingobserved,therelevantindividuals,theirrespectiverespon
sibilities,andwhereandwhentheobservationwascarriedout.
A13.
[Proposed]PSA220(Redrafted)requirestheauditortoreviewtheaudit
5
workperformedthroughreviewoftheauditdocumentation.
Therequirementtodocumentwhoreviewedtheauditworkperformed
doesnotimplyaneedforeachspecificworkingpapertoincludeevidenc
eofreview.Therequirement,however,meansdocumentingwhataudi
tworkwasreviewed,whoreviewedsuchwork,andwhenitwasreviewe
d.
DocumentationofDiscussionsofSignificantMatterswithManagement,Th
oseChargedwithGovernance,andOthers(Ref:Para.10)
A14.Thedocumentationisnotlimitedtorecordspreparedbytheauditorbut
mayincludeotherappropriaterecordssuchasminutesofmeetingsp
reparedbytheentityspersonnelandagreedbytheauditor.Othersw
ithwhomtheauditormaydiscusssignificantmattersmayincludeoth
erpersonnelwithintheentity,andexternalparties,suchaspersonsp
rovidingprofessionaladvicetotheentity.
DocumentationofHowInconsistencieshavebeenAddressed (Ref:Para.11)
A15.Therequirementtodocumenthowtheauditoraddressedinconsistenc

iesininformationdoesnotimplythattheauditorneedstoretaindocu
mentationthatisincorrectorsuperseded.
ConsiderationsSpecifictoSmallerEntities(Ref.Para.8)
A16.Theauditdocumentationfortheauditofasmallerentityisgenerallylesse
xtensivethanthatfortheauditofalargerentity.Further,inthecaseofan
auditwheretheengagementpartnerperformsalltheauditwork,thedo
cumentationwillnotincludemattersthatmighthavetobedocumente
dsolelytoinformorinstructmembersofanengagementteam,ortopro
videevidenceofreviewbyothermembersoftheteam(forexample,the
rewillbenomatterstodocumentrelatingtoteamdiscussionsorsuperv
ision).Nevertheless,theengagementpartnercomplieswiththeoverri
dingrequirementinparagraph8toprepareauditdocumentationthatc
anbeunderstoodbyanexperiencedauditor,astheauditdocumentati
onmaybesubjecttoreviewbyexternalpartiesforregulatoryorotherpu
rposes.
A17.Whenpreparingauditdocumentation,theauditorofasmallerentitymay
alsofindithelpfulandefficienttorecordvariousaspectsoftheaudittog
etherinasingledocument,withcrossreferencestosupportingworkingpapersasappropriate.Examplesof
mattersthatmaybedocumentedtogetherintheauditofasmallerentit
yincludetheunderstandingoftheentityanditsinternalcontrol,theove
rallauditstrategyandauditplan,materiality,assessedrisks,significa
ntmattersnotedduringtheaudit,andconclusionsreached.

[Proposed]PSA220 (Redrafted),paragraph [16].[Proposed]PSA220 (Redrafted),par

agraph[A12],describesthenatureofareview.
DeparturefromaRelevantRequirement(Ref:Para.12)

A18.TheobjectivesandrequirementsinPSAsaredesignedtosupporttheachi
6
evementoftheoverallobjectiveoftheauditor.
Accordingly,otherthaninexceptionalcircumstances,thePSAscallfor
compliancewitheachrequirementthatisrelevantinthecircumstance
softheaudit.
A19.Thedocumentationrequirementappliesonlytorequirementsthatare
7
relevantinthecircumstances.Arequirementisnotrelevant
onlyinthecaseswhere:

(a)

ThePSAisnotrelevant(forexample,inacontinuingengagement,noth
8
ingin[proposed]PSA510(Redrafted) is relevant); or
(b)
Thecircumstancesenvisioneddonotapplybecausetherequirementi
sconditionalandtheconditiondoesnotexist(forexample,therequire
menttomodifytheauditorsopinionwherethereisaninabilitytoobtain
sufficientappropriateauditevidence,andthereisnosuchinability).

MattersArisingaftertheDateoftheAuditorsReport(Ref:Para.13)
A20.Examplesofexceptionalcircumstancesincludefactswhichbecomekn
owntotheauditorafterthedateoftheauditorsreportbutwhichexiste
datthatdateandwhich,ifknownatthatdate,mighthavecausedthefin
ancialstatementstobe
9

amendedortheauditortomodifytheopinionintheauditorsreport.Th
eresultingchangestotheauditdocumentationarereviewedinaccord
ancewiththereviewresponsibilitiessetoutin[proposed]PSA220(Re
10
drafted),
withtheengagementpartnertakingfinalresponsibilityforthechang
es.
AssemblyoftheFinalAuditFile(Ref:Para.1416)
A21.
[Proposed]PSQC1(Redrafted)requiresfirmstoestablishpoliciesandp
11
roceduresforthetimelycompletionoftheassemblyofauditfiles.
Anappropriatetimelimitwithinwhichtocompletetheassemblyofthefi
nalauditfileisordinarilynot
12

morethan60daysafterthedateoftheauditorsreport.
A22.Thecompletionoftheassemblyofthefinalauditfileafterthedateoftheau
ditorsreportisanadministrativeprocessthatdoesnotinvolvetheperf
ormance
6
[Proposed]PSA200 (Revised andRedrafted),OverallObjectiveoftheIndependentAud
itor,and theConductofanAuditinAccordancewith PhilippineStandardsonAuditing,p
aragraphs[2324].
7
[Proposed]PSA200(Revised and Redrafted),paragraph [27].

8
[Proposed]PSA510(Redrafted),InitialAuditEngagementsOpeningBalances.
9
PSA560 (Redrafted),SubsequentEvents,paragraph 13.
10

[Proposed]PSA220 (Redrafted),paragraph[15].
11

[Proposed]PSQC1 (Redrafted),paragraph [52].

12

[Proposed]PSQC1 (Redrafted),paragraph [A50].

ofnewauditproceduresorthedrawingofnewconclusions.Changesm
ay,however,bemadetotheauditdocumentationduringthefinalasse
mblyprocessiftheyareadministrativeinnature.Examplesofsuchch
angesinclude:
Deletingordiscardingsupersededdocumentation.
Sorting,collatingandcrossreferencingworkingpapers.
Signingoffoncompletionchecklistsrelatingtothefileassemblyproce
ss.
Documentingauditevidencethattheauditorhasobtained,discussed
andagreedwiththerelevantmembersoftheengagementteambefor
ethedateoftheauditorsreport.
A23.
[Proposed]PSQC1(Redrafted)requiresfirmstoestablishpoliciesandp
13
roceduresfortheretentionofengagementdocumentation.
Theretentionperiodforauditengagementsordinarilyisnoshortertha
nfiveyearsfromthedateoftheauditors
14

report,or,iflater,thedateofthegroupauditorsreport.
A24.Anexampleofacircumstanceinwhichtheauditormayfinditnecessary
tomodifyexistingauditdocumentationoraddnewauditdocumenta
tionafterfileassemblyhasbeencompletedistheneedtoclarifyexisti
ngauditdocumentationarisingfromcommentsreceivedduringmo
nitoringinspectionsperformedbyinternalorexternalparties.

Acknowledgment
ThisPSAisbasedonInternationalStandardonAuditing230(Redrafted),A
uditDocumentation,issuedbytheInternationalAuditingandAssurance
StandardsBoard.
TherearenosignificantdifferencesbetweenthisPSA230(Redrafted)a

ndISA230(Redrafted).

13

[Proposed]PSQC1 (Redrafted),paragraph [54].

14

[Proposed]PSQC1 (Redrafted),paragraph [A57].

Appendi
x
(Ref:Para.1)

SpecificAuditDocumentationRequirementsinOtherPSAs
ThisappendixidentifiesparagraphsinotherPSAsasatDecember31,2007t
hatcontainspecificdocumentationrequirements.Thelistisnotasubstitute
forconsideringtherequirementsandrelatedapplicationandotherexplana
torymaterialinPSAs.

1
2
3
4
5
6
7

[Proposed]PSA210(Redrafted),AgreeingtheTermsofAuditEngage
mentsparagraphs[911]
[Proposed]PSA220(Redrafted),QualityControlforanAuditofFinanci
alStatementsparagraphs[2627]
PSA240(Redrafted),TheAuditorsResponsibilitiesRelatingtoFraudi
nanAuditofFinancialStatementsparagraphs4447
[Proposed]PSA250(Redrafted),TheAuditorsResponsibilitiesRelati
ngtoLawsandRegulationsinanAuditofFinancialStatements
paragraph[28]
PSA260(RevisedandRedrafted),CommunicationwithThoseCharge
dwithGovernanceparagraph19
PSA300(Redrafted),PlanninganAuditofFinancialStatements
paragraph11
PSA315(Redrafted),IdentifyingandAssessingtheRisksofMaterialM
isstatementThroughUnderstandingtheEntityandItsEnvironment
paragraph33

8
9
10
11
12
13

[Proposed]PSA320(RevisedandRedrafted),MaterialityinPlanninga
ndPerforminganAuditparagraph[14]
PSA330(Redrafted),TheAuditorsResponsestoAssessedRisks
paragraphs2931
[Proposed]PSA450(RevisedandRedrafted),EvaluationofMisstate
mentsIdentifiedDuringtheAuditparagraph[20]
PSA540(RevisedandRedrafted),AuditingAccountingEstimates,Inc
ludingFairValueAccountingEstimates,andRelatedDisclosures
paragraph23
[Proposed]PSA550(RevisedandRedrafted),RelatedParties
paragraph[29]
PSA600(RevisedandRedrafted),SpecialConsiderations
AuditsofGroupFinancialStatements(IncludingtheWorkofCompone
ntAuditors)paragraph50

ThisPSA230(Redrafted),AuditDocumentation,wasunanimouslyapprove
dforadoptiononMay26,2008bythemembersoftheAuditingandAssuranceS
tandardsCouncil.

BenjaminR.Punongbayan,Chairman

FelicidadA.Abad

ErwinVincentG.Alcala

DavidL.Balangue

EliseoA.Fernandez

Ma.CeciliaF.Ortiz

AntonioP.Acyatan

FroilanG.Ampil

Ma.GraciaCasalsDiaz

JaimeP.Naranjo

NestorioC.Roraldo

JoaquinP.Tolentino

JaimeE.Ysmael

EdithaO.Tuason