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OSIER M17/J17 (A) Kaplan kit part a ii) point 3)

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AAA Exams › OSIER M17/J17 (A) Kaplan kit part a ii) point 3)

  • This topic has 1 reply, 2 voices, and was last updated 1 year ago by Kim Smith.
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  • October 23, 2021 at 12:06 pm #638892
    Noah098
    Member
    • Topics: 935
    • Replies: 352
    • ☆☆☆☆☆

    A copy of the forecast cash flows attributable to the retail outlets. This should contain evidence of analytical review in comparison to the year ended 31 March 20X7 to confirm the accuracy of the base cash flows.

    ma’am I dint get this point. I there a typo in this point? it should have been 31march 20X6 perhaps? and even if I assume so, how does y-o-y comparison help in determining accuracy of base cash flows?

    October 25, 2021 at 9:41 am #639049
    Kim Smith
    Keymaster
    • Topics: 100
    • Replies: 6798
    • ☆☆☆☆☆

    The financial statements that you are auditing are for the year ended 31 March 20X7.

    Forecast for impairment review will be for FUTURE – say to 31 March 20X8 – this should be compared to the prior year actual – i.e. 31 March 20X7 – to confirm the starting point of the forecast.

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