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Hello Sir,
For PYQ Sep/Dec 2017 ,the answer of audit strategy document included the following sentences:“The availability of key personnel at Prancer Construction Co”
what is the key personnel referred to?
“It should ascertain the reporting objectives of the engagement to plan the timing of the audit and the nature of the communications
required,”What is the reporting objective?is it different for each Co?
Thank you.
The finance director would be the most key of the client’s personnel (based on the number of references to the finance director in the scenario).
It’s just saying that the all aspects of reporting should be considered in formulating the audit strategy – so whether the client will issue the financial statements as a stand-alone document or as part of an annual report (which would include other information) or, in specific industries there might be separate reports to be prepared for regulators (not examinable).
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