1) Bert Finney, CPA is auditing Twinkles Ltd which runs a chain of jewellery shops and you are responsible for the audit of inventory. Counting and identifying the items of jewellery is not a difficulty but verifying the value of the inventory is a major planning issue. How would he gather sufficient appropriate evidence to validate the value of inventories in this case?

2) Bert Finney, CPA (auditor) in charge of the audit of Gorilla plc. He is about to brief his junior members of the audit team prior to the audit of the Statement of Financial Position. Write some notes in preparation for his meeting with the audit juniors to explain the assertions in relation to current assets and what each of the assertions means.

3) In assessing whether the controls are operating effectively, is it necessary for the auditor to re-perform the work of the control itself? For example, if someone tests for the correctness of computations and initials the bottom of a document to indicate that such a control procedure has been performed, is it necessary for the auditor to re-perform? Explain the rationale for your response.