57%

of Tier 2/3 group audits needed significant improvement — FRC called this "unacceptable"

ISA 600 (Revised) — Group Audit Transition Readiness Assessment

The standard changed. Your group audit files probably haven't. Find out in 6 minutes.

ISA 600 (Revised) is effective NOW for periods beginning on or after 15 December 2023. If you audit December year-end groups, the revised standard already applies to your current engagements. 57% of Tier 2/3 group audits needed significant improvement. The FRC called this "unacceptable." Have you actually transitioned?

What's inside

4-sheet Excel workbook with 12-question transition readiness assessment, old vs new comparison matrix with strikethrough on superseded requirements, finding details with ISA references, and a reusable component auditor instruction checklist.

1. "Significant component" classification still applied (ISA 600 Revised)

The revised standard eliminates the significant component concept entirely, replacing it with a top-down aggregation risk approach. Firms still using the old classification are fundamentally non-compliant.

2. Component auditor instructions lack sufficient detail (ISA 600.42)

Regulators found group engagement teams sending generic instructions to component auditors without specifying group-level risks, materiality, or required procedures.

3. Aggregation risk not assessed at group level (ISA 600.29)

The revised standard requires explicit assessment of aggregation risk — the risk that the aggregate of individually immaterial misstatements across components could be material. Most firms have no methodology for this.

Plus 9 more findings — including an old vs new comparison matrix and reusable component auditor instruction checklist. All in a free Excel workbook.

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Based on FRC, AFM, PCAOB, and CPAB inspection findings. Built by a practicing auditor.

Based on FRC, AFM, PCAOB, and CPAB inspection reports (2022–2025). Built by a practicing auditor.

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Also available:

ISA 315 Risk Assessment ISA 540 Estimates ISA 570 Going Concern ISA 700/705 Reporting ISA 530 Sampling ISA 320 Materiality ISA 520 Analytical Procedures

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