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statement or of a specific element of a financial statement, the auditor shall consider whether the expected form
of opinion is appropriate in the circumstances.
3. Consideration for Single Financial Statement or Specific Element: In the case of a single financial
statement or of a specific element of a financial statement, the applicable financial reporting framework may not
explicitly address the presentation of the financial statement or of the element.
This may be the case when the applicable financial reporting framework is based on a financial reporting
framework established by an authorised or recognised standards setting organisation for the preparation of a
complete set of financial statements. The auditor therefore considers whether the expected form of opinion is
appropriate in the light of the applicable financial reporting framework.
4. Wordings of Opinion
In accordance with Revised SA 700:
(a) When expressing an unmodified opinion on a complete set of financial statements prepared in accordance
with a fair presentation framework, the auditor’s opinion, unless otherwise required by law or regulation, uses
one of the following phrases: (i) the financial statements present fairly, in all material respects, in accordance
with the applicable financial reporting framework or (ii) the financial statements give a true and fair view in
accordance with the applicable financial reporting framework and
(b) When expressing an unmodified opinion on a complete set of financial statements prepared in accordance
with a compliance framework, the auditor’s opinion states that the financial statements are prepared, in all
material respects, in accordance with the applicable financial reporting framework.
Factors that may affect the auditor’s consideration as to whether to use the phrases “presents fairly, in all
material respects”, or “gives a true and fair view” in the auditor’s opinion include:
(Shortcut: ARC Da Judgement)
1. Considerations of AFRF: Factors that may affect the auditor’s consideration as to whether to use the phrases
“presents fairly, in all material respects”, or “gives a true and fair view” in the auditor’s opinion include
considerations related to the applicable financial reporting framework (AFRF) and compliance with its
requirements.
1A. Restriction to Complete Set of Financial Statements: Whether the applicable financial reporting
framework is explicitly or implicitly restricted to the preparation of a complete set of financial statements.
1B. Compliance and Presentation: Whether the single financial statement or the specific element of a financial
statement will comply fully with each of those requirements of the framework relevant to the particular financial
statement or the particular element, and whether the presentation of the financial statement or the specific
element includes the related notes and disclosures.
2. Departure or Additional Disclosures for Fair Presentation: If necessary to achieve fair presentation,
whether to provide disclosures beyond those specifically required by the framework or, in exceptional
circumstances, depart from a requirement of the framework.
3. Professional Judgement: The auditor’s decision as to the expected form of opinion is a matter of professional
judgment and may be affected by the general acceptance of the phrases “presents fairly, in all material respects”,
or “gives a true and fair view” in the auditor’s opinion in the particular jurisdiction.

(CNO SA- 805.100) Forming an Opinion and Reporting Considerations
1. Forming an Opinion - Application of Revised SA 700: When forming an opinion and reporting on a single
financial statement or on a specific element of a financial statement, the auditor shall apply the requirements in
Revised SA 700, adapted as necessary in the circumstances of the engagement.
2. Expression of Separate Opinions for Each Engagement: If the auditor undertakes an engagement to report
on a single financial statement or on a specific element of a financial statement in conjunction with an
engagement to audit the entity’s complete set of financial statements, the auditor shall express a separate opinion
for each engagement.

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