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Substentive procedures NCA: Past exam March/June 2016 Q:4

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AA Exams › Substentive procedures NCA: Past exam March/June 2016 Q:4

  • This topic has 2 replies, 2 voices, and was last updated 8 years ago by boma77.
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  • November 13, 2016 at 11:57 am #348711
    boma77
    Member
    • Topics: 70
    • Replies: 97
    • ☆☆

    Dear Tutor,

    Could you please advise if the following would be an acceptable substantive procedure for the disposed assets:

    Review the schedule of the disposed NCA and ensure that items were removed from the NCA register and proper accounting treatment (profit, loss on disposal) was performed.

    Best,

    November 13, 2016 at 5:40 pm #348751
    Ken Garrett
    Keymaster
    • Topics: 10
    • Replies: 10606
    • ☆☆☆☆☆

    That is certainly fine. Whether all disposals or a sample are examined depends on the volume of disposals and the internal controls surrounding the process.

    November 13, 2016 at 7:55 pm #348761
    boma77
    Member
    • Topics: 70
    • Replies: 97
    • ☆☆

    Thank you.

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