Britlings Brewery (BB) is a relatively small, independent brewing company based in Sheffield, where the brewery and head office are located. Britlings owns 270- public houses in Yorkshire and Lincolnshire, all of which are run by managers. Its year-end is 31 December and its auditors are carrying out the interim audit in October 19X9 for the December 19X9 year-end................

QUESTIONS FOR DISCUSSION
1. Describe and evaluate the effectiveness of the company’s system for controlling additions to and disposals of fixed assets.
2. Suggest tests for verifying:

(a) that land and buildings exist and are owned by the company;

(b) that their value is fairly stated;

(c) that plant and equipment exists and its value is fairly stated;

(d) that vehicles exist and are owned by the company.