Service Areas For CPA Firms
Technical Trainings for Audit Partners, Managers and Seniors
We have conducted many technical trainings, workshops and seminars on accounting and other financial reporting matters in Hong Kong and elsewhere in the Asia Pacific region to auditors, listed companies in Hong Kong and regulators in Hong Kong. Our training programme for your firm will be specially tailored to ensure that the audit and other professionals of your firm will have a good understanding of the latest accounting standards and how those standards would impact the firm’s clients.
Technical Reviews of Listed Companies’ Financial Statements Prior to their Issuance
We will apply our in-depth knowledge and wide ranging experience in dealing with significant accounting issues and the related audit issues to contribute significantly to the quality control of the audits. Specifically, we will conduct in-depth reviews of the draft financial statements of the listed companies and identify the significant accounting and auditing issues which are apparent from such reviews. We will then discuss with the engagement teams and EQCR reviewers matters concerning the presentation and disclosures in the financial statements, as well as the documentation in the audit work papers.
Accounting Consultations
Many listed companies undertake complex transactions, for example issuances of financial instruments, group restructuring, etc. We possess the appropriate knowledge, seniority and experience and hence it will be effective for engagement teams and their EQCR reviewers to involve us in consultations whenever audit clients which are listed entities (or IPO aspirants) are contemplating or have undertaken transactions which are complex and difficult to understand the accounting implications.
Long form audit reports
In view of the requirements of the auditing standard HKSA 701 on “Communicating Key Audit Matters in the Independent Auditors’ Report”, our involvement in performing a detailed technical review of the financial statements (see section 2 above) will be beneficial in the finalization of auditors’ reports on financial statements of listed entities because it will enable us to assist the engagement team in the identification of the areas which are:
- Of higher assessed risk of material misstatements or significant risks,
- Involving significant auditor judgements and management judgements,
- accounting estimates identified as having high estimation uncertainty, and
- of complexity due to the occurrence of significant events or transactions.
We will assist the engagement teams in the drafting of the Key Audit Matters section of the auditors’ reports and the finalization thereof.
Responses to Regulators’ Queries
In today’s audit environment, it is not unusual or uncommon for auditors to receive letters from regulators enquiring about or investigating into possible irregularities in financial reporting of listed companies. Likewise, listed companies also receive communications from their regulators querying about the appropriateness of financial reporting matters; such listed entities would engage with their auditors to respond to the queries. We can assist the audit engagement teams to respond to the matters raised in these enquiry and investigation letters and queries using sound technical reasoning and arguments.