March/June 2017 Q1. Holly & Co.

Look to the syllabus for the relevant learning outcomes to put these requirements in context (D1f, D2c). So for example in the M/J17 Q1 – the first requirement is to evaluate risks of material misstatements using analytical procedures. The scenario cannot provide all the information that might be available – so, as you are working through the first part, jot down ideas for things that your don’t know but would be useful to know.
So, for example, there’s a consolidated SoPL which you can use to calculate ratios in (a) – revenues have increased but profits have fallen – so wouldn’t it be useful to have some breakdown of revenue? How do you want it broken down? By geographic region/division/product/service/month? Look to the scenario for what is appropriate.
Don’t only think about additional information when looking at the ratios – but also when you read the information provided – e.g. Note 2 ends “The Chico products have been withdrawn from sale.” Surely that begs the immediate Q – when? Was it before or after the impairment review? Would you not expect this information to be reflected in the monthly sales analysis?
There are no “standard” answers to be made to such requirements and there will be many valid answer points – what’s important is that the relevance of the additional information to your analysis/evaluation must be made clear.