首页 > 财会类 > ACCA/CAT 正文

(b) You are the audit manager of Petrie Co, a private company, that retails kitchen utensi

时间:2021-04-25 19:31:22 解答: 72 次

(b) You are the audit manager of Petrie Co, a private company, that retails kitchen utensils. The draft financial

statements for the year ended 31 March 2007 show revenue $42·2 million (2006 – $41·8 million), profit before

taxation of $1·8 million (2006 – $2·2 million) and total assets of $30·7 million (2006 – $23·4 million).

You are currently reviewing two matters that have been left for your attention on Petrie’s audit working paper file

for the year ended 31 March 2007:

(i) Petrie’s management board decided to revalue properties for the year ended 31 March 2007 that had

previously all been measured at depreciated cost. At the balance sheet date three properties had been

revalued by a total of $1·7 million. Another nine properties have since been revalued by $5·4 million. The

remaining three properties are expected to be revalued later in 2007. (5 marks)

Required:

Identify and comment on the implications of these two matters for your auditor’s report on the financial

statements of Petrie Co for the year ended 31 March 2007.

NOTE: The mark allocation is shown against each of the matters above.

正确答案:

(b) Implications for auditor’s report(i) Selective revaluation of premisesThe revaluations are clearly material to the balance sheet as $1·7 million and $5·4 million represent 5·5% and 17·6%of total assets, respectively (and 23·1% in total). As the effect

请充值VIP继续使用(未注册用户支付后会自动注册登录)

×

95元 29元

VIP截止日期:2024-12-31 09:26:10

←请使用支付宝扫码支付

95元 29元

VIP截止日期:2024-12-31 09:26:10

←请使用微信扫码支付