The Auditor’s Communication with Those Charged with Governance

Author:Professor Maria MANOLESCU, Ph.D., Associate Professor Aureliana Geta ROMAN, Ph.D., Professor Constantin ROMAN, Ph.D., Mihaela MOCANU, Ph.D. Student

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Keywords:persons charged with governance, statutory audit of financial statements, communication process, accounting policies, accounting practices, internal control

Abstract:
The purpose of this article is to delineate the general framework of the auditor’s communication with those charged with corporate governance, according to ISA 260 and ISA 265 (effective for the statutory audit of financial statements for periods beginning on, or after the 15th of December 2009). The presented aspects aim at clarifying this communication from the perspective of the two standards, and concern:\r\n- the auditor’s responsibility in communicating with the persons charged with corporate governance and identifying those persons according to the legislation in Romania;\r\n- explaining the role communication has and the way it takes place;\r\n- identifying and communicating the significant aspects regarding the accounting policies and practices of the audited entities, as well as the accounting estimates and the disclosure of appropriate information;\r\n- characteristic features of public interest entities.\r\n

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