The Covid-19 pandemic changed many things, including making the practice of the public

accounting profession not run smoothly. Not a few of these practitioners experienced
obstacles in fulfilling the obligations of the PPL SKP, while prospective public accountants
had to be patient waiting for the reactivation of CPA (certified public accountant) exam
centers. KAP network activities such as global inspection, global learning, inspection of
international networks, cash flow management, and communication of key messages are also
affected and within the KAP management itself. Internal inspection processes, technology
infrastructure, up to employee management, also face challenges.
The Covid-19 pandemic affected most of the business processes carried out by KAP, also the
internal management, the KAP network, to the need for reconsideration of audit engagements
to alternative audit approaches that must be taken during this pandemic.
Risk assessment procedures and the auditor's understanding of the entity's internal control are
things that must be understood by auditors. With this, auditors can evaluate additional risks
that arise such as operational disruptions in any business model changes caused by a
pandemic.
Acceptance of the audit engagement and the client's continuity should not go unnoticed. The
auditor must identify and assess audit risk, as well as review the risk assessment that has been
carried out by management. There, the auditor assesses whether management has identified
the significance of emerging business risks and how the entity's ability to maintain as a going
concern. Furthermore, the auditor reviews engagement quality controls that can be an
indicator of audit engagement acceptance and client continuity.
The Covid-19 pandemic also affected the results of obtaining audit evidence, for example, the
enforcement of PSBB (large-scale social restrictions), which affected access and travel
restrictions as well as the availability of personnel from auditors and auditees. The auditor
will need to make the relevant changes in this respect, exploring alternative audit procedures.
Auditors need to pay close attention to how ISA 330 (Auditor Response to Assessed Risks)
serves as a guide to identify changes relevant to the auditor's ability to obtain sufficient
appropriate audit evidence during a pandemic.
Auditors need to maintain timely communication with management, those charged with
governance and regulators regarding the impact of the pandemic on financial reports. As in
the client acceptance and continuation stages, the auditor evaluates management's assessment
of the entity's ability to maintain its business as a going concern.
The auditor should also pay special attention to the closing book process, especially on
certain accounts, adjusting entries, non-routine transactions and special transactions, as well
as the overall presentation in the financial statements. Likewise, the evaluation of the
accuracy of the assumptions and the reliability of the data used in this pandemic condition.
In the case that the reporting entity has segments, Hendang highlighted the importance of
collecting segment information that may change for the 2020 audit compared to the previous
year for an entity. This includes the possibility of impairment of fixed assets and intangible
assets if a segment of the company ceases to operate.
Physical inventory counting also requires alternative procedures, namely testing sales after
the end of the year, testing other controls over inventory, and using drones or remote sensing
as an option.
Hendang mentioned several auditing standards that must be considered when compiling
reports. The auditor is required to modify the audit report or form an opinion on the financial
report by considering the principles stated in ISA 700 (Formulation of an Opinion and
Reporting on Financial Statements), ISA 705 (Modification of Opinion in Independent
Auditor's Report), and ISA 706 (Paragraph Emphasis of Matters and Other Paragraphs in the
Independent Auditor's Report), as well as modifying the LAI in accordance with SA 570
(Going Concern).
The presenter, who is both a practitioner and an academic, expressed his hope that auditors
would enrich themselves with information on the latest laws and regulations regarding
financial reports. He advised PPL participants to learn a lot about the impact of the Covid-19
pandemic on insurance and non-insurance services.
Apart from their own country, these materials can also be obtained from other state public
accounting professional associations such as the Institute of Chartered Accountants in
England and Wales (ICAEW) and the American Institute of Certified Public Accountants
(AICPA). These associations provide a lot of material and research results related to
insurance services during the Covid-19 pandemic. This publication can be an additional
reference for public accountants in their application in Indonesia.
This is very crucial so that a public accountant can still provide professional, quality, and
capable audit services even though the pandemic affects most of their business processes.
As an auditee entity, PT Bentoel International Investama, Tbk already has enterprise business
systems SAP (Systems Applications and Products), so that during a pandemic, it helps
auditors a lot because the system is reliable. The auditors still came to PT Bentoel's office in
Malang, but with health protocols and in a short time. Regarding inventory stock count,
auditors continue to visit locations for inventory in the city. As for assets outside the city, a
physical check is carried out via virtual This can be a consideration for other auditors in
dealing with the impact of the Covid-19 Pandemic.