## Comparative Information — Corresponding Figures vs. Comparative Financial Statements (SA 710)

### Definition

Comparative Information: The amounts and disclosures included in the financial statements in respect of one or more prior periods in accordance with the applicable financial reporting framework.

### Two Approaches — The Critical Difference

Feature	Corresponding Figures	Comparative Financial Statements
What is presented	Prior period figures shown alongside current period for context	Full financial statements for each period presented
Auditor's opinion covers	Current period only	Each period for which statements are presented
Common use	India (under Companies Act)	US GAAP, some international engagements

The essential audit reporting difference: Under corresponding figures, the prior period numbers are audited only to the extent needed to support the current period opinion. Under comparative financial statements, the auditor expresses a separate opinion on each year.

### Audit Procedures for Comparative Information

Regardless of the approach, the auditor evaluates whether:

1. Agreement: Comparative information agrees with the amounts and disclosures presented in the prior period

2. Consistency: Accounting policies in the comparative information are consistent with those applied in the current period — or, if changes were made, whether they have been properly accounted for and disclosed

Worked example

### Example 1

Corresponding figures scenario: Auditor of ABC Ltd. (FY 2024–25) notices that the prior year (FY 2023–24) figure for trade payables shown as a comparative has been restated from ₹120 lakhs to ₹95 lakhs without any disclosure of the reason.

Procedure: The auditor checks whether the restatement is in accordance with AS 5 or the applicable standard and whether adequate disclosure exists. If management refuses to disclose, the auditor considers modification of the current year opinion or an EOM paragraph — even though the prior year numbers themselves are not within the scope of the current opinion.

### Example 2

Consistency check: ABC Ltd. changed its inventory valuation policy from FIFO to weighted average cost in the current year. Under corresponding figures, the auditor must verify: (1) that the change is disclosed, (2) that prior year comparatives have been restated correctly if required, and (3) that the impact has been properly presented per the applicable standard.

⚠️ Common exam mistakes

Assuming that under corresponding figures, the auditor's opinion covers both the current and prior periods — it covers only the current period.
Forgetting to check whether comparative information is consistent with the prior period audit — prior year figures should match what was previously reported (or explain restatements).
Not verifying consistency of accounting policies between current and prior periods when reviewing comparative figures.

Bare-Act text Definitions · SA 710 – Comparative Information — Corresponding Figures and Comparative Financial Statements · click to expand

Comparative Information – The amounts and disclosures included in the financial statements in respect of one or more prior periods in accordance with the applicable financial reporting framework.

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Comparative Information in Audit Reports – SA 710

Worked example

⚠️ Common exam mistakes