Brand names - audit process, Auditing

Assignment Help:

Brand Names - Audit Process

Few companies in current years have placed valuations on the brand names of the goods such they sell.  On the balance sheet the valuation is shown.  The reason for responsibility that is the brand name is valuable to the company such it helps to sell the company's goods.  Assume an example, may people would quite buy a 'branded' tin of soap powder, quite than the 'own make' offered through a supermarket.  So IAS 38 not allows recognition of internally created brands.

The auditor must consider for purchased brands:

(i) Is the brand name valued corresponding to an acceptable procedure, and not just 'guessed' through the directors?

(ii) Is the value being amortized over an acceptable time such relates to the future or further sales of the brand?

(iii) Has the credit entry for the debit been adequately display as a non-distributable reserve upon the balance sheet?

(iv) Is there adequate disclosure in the financial statements of the accounting policy?


Related Discussions:- Brand names - audit process

Higher normal risk, Higher  normal risk Several audit assignments invo...

Higher  normal risk Several audit assignments involve high audit risk and usually in any client there will always be at least one high risk area.  Indications that an audit has

Audit, Why is studying Auditing different from studying other accounting to...

Why is studying Auditing different from studying other accounting topics?

Procedures when fraud is suspected, Procedures When Fraud is suspected ...

Procedures When Fraud is suspected Whenever the auditor encounters situation that might indicate that there is a material mis-statement in the financial statements resultant fr

External financial statement, As per the standard audit engagement letter s...

As per the standard audit engagement letter signed between external financial statement auditor and client/ auditee, auditor's primary role is to detect fraud. Ans: No, the prim

Detail work on stocks - audit of current assets, Detail work on stocks - Au...

Detail work on stocks - Audit of Current Assets Detail work on stocks is imperative in an audit, since there are other review tests that are equally important and these includ

Identify and use audit procedures, (a) In order to draw reasonable conclusi...

(a) In order to draw reasonable conclusions, an auditor is required to identify and use audit procedures to gather audit evidence. You are required to identify and explain, five

Management representations as source of audit evidence, Management Represen...

Management Representations as a Source of Audit Evidence International Standard on Auditing as abbreviated ISA 580 Management Representations gives guidance and standards on t

Audit sampling, Audit Sampling ISA 530 Audit Sampling and Other Select...

Audit Sampling ISA 530 Audit Sampling and Other Selective Testing Procedures defines Audit sampling is the application of a compliance or substantive procedure to less than 10

Communication, strongest mediul of communication

strongest mediul of communication

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