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In ques 1 there must be 1 materiality paragraph on suitable figure like revenue pbt total assets given by examiner.
Now for Ronn should i be calculating materialty again or keep referencing bak to my materility paragraph.
Also if a question is worth 21 marks then is 6 Audit risk 4 materiality calculation 2 trends enough?See for example in the answer to Practice Exam Q1 Pale Co in the CBE Platform … the evaluation of risks starts with an overall assessment of materiality.
Thereafter, the “consistent application of the chosen materiality” (which gets professional skills marks) is demonstrated like this:
“A government grant of $20 million has been awarded to Pale Co, this is significantly above the materiality threshold which has been determined at $1.25million …”
“The company’s timber plantation asset, prior to recognising any change in fair value, is highly material based on the threshold calculated of $1.25million …”
YES it is enough!
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