20% off ACCA & CIMA Books

OpenTuition recommends the new interactive BPP books for December 2024 exams.
Get your discount code >>

june 2016 question Grains 4U Co (Grains)

This topic has 3 replies, 2 voices, and was last updated 4 years ago by Kim Smith.

Viewing 4 posts - 1 through 4 (of 4 total)

Author
Posts
February 11, 2020 at 7:14 pm #561409
reem1589
Participant
- Topics: 61
- Replies: 17
in this question part 3ii, could the following audit procedure be acceptable?
event 1- – Review post year end cash receipt to assess the amount of, if any, received from the insurance company
February 12, 2020 at 8:20 am #561454
Kim Smith
Keymaster
- Topics: 130
- Replies: 8108
No – as the audit report is “due to be signed shortly” you can’t wait that long. The insurance company has only just started its investigation.
February 12, 2020 at 11:46 am #561470
reem1589
Participant
- Topics: 61
- Replies: 17
Noted, i had another doubt in the audit procedure i had thought of while attempting this question could you please inform me if it is reasonable or not, it relates to event 1.
audit procedure: review minutes of board meeting to determine whether any further damages have occurred due to the fire to assess whether any additional disclosure are required.
February 13, 2020 at 8:26 am #561623
Kim Smith
Keymaster
- Topics: 130
- Replies: 8108
This Q concerns disclosure of the event which is “the fire” so looking for “additional disclosure” is a bit vague and that there could be further damage seems unnecessary supposition when the scenario has given estimates.
Author
Posts

Viewing 4 posts - 1 through 4 (of 4 total)

You must be logged in to reply to this topic.