How should an auditor communicate if other information requires revision?

When other information in a financial report needs revision, the appropriate course of action for an auditor is to communicate this to those charged with governance. This involves notifying the governing body, such as the board of directors or the audit committee, about the discrepancies or issues identified in the other information.

This communication serves several purposes. Firstly, it ensures that the governing body is aware of the issues and can take appropriate action to revise the information or rectify the situation. Secondly, it signifies the auditor's responsibility to maintain transparency and uphold professional standards by alerting the relevant stakeholders of significant matters that could affect the overall understanding of the financial statements.

This interaction is key in maintaining a professional and ethical relationship between the auditor and the entity, as it reinforces the auditor's role in safeguarding stakeholder interests.

In contrast, withdrawing from the engagement, issuing a new report, or updating the financial statements are not the standard practices for addressing issues with other information. Withdrawing would terminate the audit without addressing the underlying problems, while issuing a new report is typically reserved for scenarios where the auditor's opinion on financial statements has changed rather than for issues with other information. Updating the financial statements is also not within the auditor’s purview, as this is the responsibility of management. Thus