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Resources for allLEARNING OBJECTIVES Understand the internal controls over custody of cash. Design and perform audit tests of cash and bank balances. Recognize the possible fraud and errors of cash and bank balances. Recognize the extended audit procedures of the general cash Read More …
You are the audit senior responsible for the audit of Sampson Limited (“Sampson”). You are currently planning the audit for the year ended 31 December 20X7. During your initial planning meeting held with the financial controller, he told you of Read More …
Answer A limited assurance engagement is an assurance engagement in which the practitioner reduces engagement risk to a level that is acceptable in the circumstances of the engagement but in which the risk is greater than for a reasonable assurance Read More …
Write short notes on the following: a) Date of auditor‟s report b) Competence and objectivity of the expert engaged auditor Answer a) Answer Date of Auditor’s Report: The auditor should date the audit report no earlier than the date Read More …
Answer: Audit Report and Certificate i. The term „report‟ is used where an expression of opinion is involved. The term „certificate‟ is preferable where the auditor comments on or verifies facts ii. The Auditor Report is based on facts, estimates Read More …
Answer: An unqualified report, which is otherwise known as unconditional opinion is issued the auditor when he does not have any reservation with regard to the matters contained in the financial statements. In such a case, the audit report Read More …
Answer INDEPENDENT AUDITOR’S REPORT To the Shareholders, ABC Company Report on the Audit of the Financial Statements1 Opinion We have audited the financial statements of ABC Company (the Company), which comprise the statement of financial position as at Ashadh 32, Read More …
Answer: After the audit, the opinion that the auditor expresses are the result of exercise of judgement on facts, evidence and circumstances which he comes across in the course of audit. The judgement is formed on the following basis: – Read More …
Answer There are the following situations of modifying the auditor‟s report wording: I. Matters that Do Not Affect the Auditor’s Opinion i. Emphasis of matter: In certain circumstances, an auditor‟s report may be modified adding an emphasis of matter Read More …
A letter from independent auditor including in a preliminary prospectus stating that, while a full audit has not undertaken, the auditor has done a review sufficient to assure that financial statement information in the preliminary prospectus is correctly prepared to Read More …