[kamlesh]

Q1 Dolphin co
-Business risks (12)
-ROMM (18)-
impairment on licence
Amortisation
Investment in associate/18% investment-may have significant influence at 18%
Financial asset
New client-opening balances (ROMM)
Revenue recognition

-Planned Procedures
-Related parties
-explain why it is difficult to identify related parties
-Procedures to be performed for related party transactions

Q2 Due diligence exercise where matters had to be assessed on the potential acquiree business
(a) -purpose of due diligence & benefits to the company of due diligence (9)
(b)-investigative procedures to be performed for the due diligence exercise.

(c ) request from finance director to employ his son in our department else this will have impact on future audit tender & provision of non-audit services-evaluation of this request for ethical & professional implications. (6)

Q3
(a) matters to be considered for the going concern (10)
(b) procedures to be performed for cash flow forecast (10)
(c ) impact on audit opinion & audit report for going concern (5)

I guess i had these- may have mixed up the order & questions.
i found Q1 very lengthy where it was difficult to move between exhibits & try to make a link beween the data & figures. (many exhibits).
Even the Figures provided were not in traditional manner with EBITDA and revenue for only 10 months versus 12 months revenue for prior year.
not a straight forward scenario.

[kamlesh]

impairment on licence
Amortisation
Investment in associate
Financial asset
New client
Revenue recognition

[Author]

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