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Substantive procedures – equity

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AA Exams › Substantive procedures – equity

  • This topic has 4 replies, 2 voices, and was last updated 9 years ago by Avatarboma77.
Viewing 5 posts - 1 through 5 (of 5 total)
  • Author
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  • November 1, 2016 at 1:15 pm #346963
    Avatarboma77
    Member
    • Topics: 70
    • Replies: 97
    • ☆☆

    Dear Tutor,

    If the company issued during the year new shares at premium, would it be a valid procedure to review the statement of changes in equity to ensure that the newly issued shares are included correctly?

    November 1, 2016 at 4:48 pm #346995
    AvatarKen Garrett
    Keymaster
    • Topics: 10
    • Replies: 10659
    • ☆☆☆☆☆

    Inspect board minutes
    Inspect offer document
    Inspect some applications
    Reconcile changes in share capital and share premium to amounts received for the issue.

    November 1, 2016 at 5:13 pm #346997
    Avatarboma77
    Member
    • Topics: 70
    • Replies: 97
    • ☆☆

    Thank you for the examamples.
    But would my example also be valid or is it wrong?

    November 1, 2016 at 5:31 pm #347002
    AvatarKen Garrett
    Keymaster
    • Topics: 10
    • Replies: 10659
    • ☆☆☆☆☆

    Reviewing the changes in equity would have to be done in conjunction with the tests above.

    November 1, 2016 at 8:12 pm #347021
    Avatarboma77
    Member
    • Topics: 70
    • Replies: 97
    • ☆☆

    Thank you.

  • Author
    Posts
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