- This topic has 1 reply, 2 voices, and was last updated 3 weeks, 5 days ago by
.
- Posts
- June 6, 2020 at 2:19 am
Ms,For PYQ June 2015 Q2(a)(ii) “audit evidence in the audit working paper”
1.For the 6th point,why need to assess the plan when the Baldrick Co eventually need to consolidate with Parent Co no matters whether its operation have been integrated with those rest of the Group?
Thank you.
June 8, 2020 at 7:45 amThe “matter” is whether a 52% holding should have been accounted for as a subsidiary rather than an associate – evidence therefore includes ideas that support control rather than significant influence.
Per the scenario – management’s justification for what appears to be an incorrect treatment is “Baldrick Co’s operations have not yet been integrated with those of the rest of the
group” – therefore that should be examined as audit evidence.
You must be logged in to reply to this topic.