What specific matters must the auditor communicate regarding the audit of Hyper Kidz?
Hyper_Kidz Franchise · 2024 FDDAnswer from 2024 FDD Document
We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control—related matters that we identified during the audit.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 52)
What This Means (2024 FDD)
According to Hyper Kidz's 2024 Franchise Disclosure Document, the auditor is required to communicate certain matters with those charged with governance. These matters include the planned scope and timing of the audit. This means Hyper Kidz franchisees can expect the auditor to outline when and how the audit will be conducted.
Additionally, the auditor must communicate significant audit findings. This would include any material misstatements or issues discovered during the audit process. Franchisees should be aware that the auditor will also communicate certain internal control-related matters that were identified during the audit.
In summary, the auditor's communication covers the audit's scope and timeline, any significant issues found, and matters related to internal controls. This ensures transparency and provides important information to those overseeing the financial governance of Hyper Kidz.