audit assurance, Auditing

Assignment Help:
You are the auditor of ABC Company and the audit process is almost complete. The audit report is due to be signed next week. However, the following additional information on two material events has been presented to you. The company’s year end was on 30 June 2012.

Event 1 – Occurred on 10 July 2012
The new products scheduled to be marketed in August 2012 have been found to be unsafe for use. The company estimated that the value of inventory of RM250,000 has to be revalued at RM100,000.

Event 2 – Occurred on 5 August 2012
Production of the company’s factory was stopped for one day due to the machine breakdown.
a) Justify whether the events are adjusting or non-adjusting events according to ISA 10 Events after the Reporting Period. *
i. State whether Event 1 is adjusting or non-adjusting event. Explain why you say so. ii. State whether Event 2 is adjusting or non-adjusting event. Explain why you say so.

Related Discussions:- audit assurance

audit tests and recording items in the audit, With reference to the case s...

With reference to the case study business, identify appropriate audit tests to be carried out. Prepare a statement of the work to be carried out and the manner in which it will be

#titl Assessment Criteria Sheets Risk analysis report Sue.., Assessment Cr...

Assessment Criteria Sheets Risk analysis report Subject Learning Outcome: To examine techniques used by auditors, including risk analysis, evidence collection and evaluation Below

Adjusting events - audit process, Adjusting Events - Audit Process Adj...

Adjusting Events - Audit Process Adjusting events are those such give evidence of conditions such existed at the balance sheet date as the settlement of a court case than the

Investment - audit process, Investment - Audit Process The investment ...

Investment - Audit Process The investment is held for wealth generation that as interest and dividends on shares and capital growth and loan notice.  Recent investments are re

Audit reports - going concern, Audit Reports - Going Concern In the va...

Audit Reports - Going Concern In the vast widely of cases, the going to relate assumption is suitable and whether applied no mention require be made in the auditor's report.

Factors affecting statistical technique, Factors Affecting Statistical Tech...

Factors Affecting Statistical Technique Factors to be taken into concern before adopting statistical techniques as: a) The number of clients to whom it is appropriate since

The international auditing and assurance standards board, The International...

The International Auditing and Assurance Standards Board (IAASB) is an independent standard-setting body that serves the public interest by setting high-quality international stand

Audit of inventories, Examine consignment agreement s and contracts

Examine consignment agreement s and contracts

Describe your role in managing a discrete assignment, Describe your role in...

Describe your role in managing a discrete assignmentn..

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd