Cooler chord Anventory and be without the words the city and hand www Now when I am Then the the Some that the purchase BYO Who enough to code tham Management of the the way Management that the word 10000 5445.000 Watu Gure one who can be that content on to the for the dish Wind your answer and Red For each of the botter Consider each of the following independent situations: A. Inventory on hand at year-end has been valued at cost in the financial report of your client. However, net realisable value is 10% belo B. in the previous financial year your client purchased property and entered into a contract to develop a shopping complex and then seli the financial year, an economic recession resulted in the rentals and occupancy rates being well below forecasts prepared by your clie forecasts when entering into the contract. The amount of damages being claimed is highly material to your client. Your client has obta The directors have therefore included no reference to the matter in the financial report to be released next week. However, you have C. Same as scenario B. except that the purchaser threatened action after the end of the financial year rather than during the financial yea D. You are auditing PF Limited, where net income is generally about 50% of gross revenues. Due to the small size of the charity's staff, then enough evidence to conclude that revenue is complete, E. Management of WER Limited has decided not to disclose directors fees in the accounts, as they are not material. You cannot convincem F. Management of JFL Limited has estimated that the allowance for doubtful debts should be 5540,000. As auditor you believe that the allo $440,000. G. Your client has several bank accounts, one of which is in foreign country, Cash balances total 5740,000 with the account maintained in the third-party confirmation with respect to the foreign bank account. The client has been unable to supply you with bank statements or othe 5480.000. All cash balances are classified as current assets in the client's financial statements. H. Would your answer to scenario G be different if the client's only asset and liability was the asset of cash balances totaling $740,000 (that is Required: For each of the above situations A-H determine the appropriate audit opinion to be issued and justify your answer. een Question 1 32 points endent situation has been alued at con in the financial report of your int. However, a 10% below cost according to the indings. The difference smatramount your cent purchased property and into a contratto develop a shopping complex and then the opera estate to an unted third party for a rostluselement price following the sale early in tren resulted in the rentals and occupancy rates bewe below forecasts prepared by your client before year and the purchase threatened to for damage alegre they relied on your dents the contract. The amount of damages being dames en material to your client. Your Own has obtained an opinion from a well known Senior Conselwch condudes that no damages should be able included no reference tower in the ancial report to be released next wees. However you and that the purchase and vice from a SC which supports its case that the purchase the action after the end of the financial year rather than during the financial year where ne income is generally about 50% of gross revenues. Due to the small size of the crystal, thereck of control of the completeness of revenue. Dette your best efforts. you feel that you do not have Be that we complete ed tus decided not to discose directors in the accounts, as they are not material. You cannot convince management to decor. However you do tree that the amounts are not quantity material has estimated that the towance for outlets should be $540.000. As auditor you believe that the allowance should be 60.000. Management will not change itsestat Profit before tak for the year account one of which in foreign coltry Cash balances total 570.000 with the account and for country to 5500, 750. You have been unable to obtain a bank ad certincat or any with respect to the forebank account. The dient has been unable to supply you with banks of the supporting documentation on to the bank account Maternity for twentus been sett are clasified as current asserts in the candlestiments. na be different if the chants only asset and ability was the set of chances toitaing 1740.000 the dishow A termine the appropriate toon to be issued and your answer Marka CHOR ALTEN MAG graph Atta 14 AM 2. X 5 x x outinho Srpski 7 A Click Submit to complete this assessment. Question 14 Consider each of the following independent situations: A. Inventory on hand at year-end has been valued at cost in the financial report of your B. In the previous financial year your client purchased property and entered into a cont the financial year, an economic recession resulted in the rentals and occupancy rates forecasts when entering into the contract. The amount of damages being claimed is The directors have therefore included no reference to the matter in the financial repo C. Same as scenario B. except that the purchaser threatened action after the end of the D. You are auditing PF Limited, where net income is generally about 50% of gross revenu enough evidence to conclude that revenue is complete. E. Management of WER Limited has decided not to disclose director's fees in the account F. Management of JFL Limited has estimated that the allowance for doubtful debts shoul. $440,000. G. Your client has several bank accounts, one of which is in foreign country. Cash balance third-party confirmation with respect to the foreign bank account. The client has been $480,000. All cash balances are classified as current assets in the client's financial state H. Would your answer to scenario G be different if the client's only asset and liability wast Required: For each of the above situations A-H. determine the appropriate audit opinion to be issued and Question 14 32 points Serie A al report of your client. However, het realisable value is 10% below cost according to the audit findings. The difference is a material amount tered into a contract to develop a shopping complex and then sell the developed real estate to an unrelated third party for a cost-plus' settlement price following the sale atly occupancy rates being well below forecasts prepared by your client. Just before year end, the purchaser threatened to sue for damages allegg they relled on your clients Deing claimed is highly material to your client. Your client has obtained an opinion from a well-known Senior Counsel which concludes that no damages should be payable the financial report to be released next week. However, you have heard that the purchaser has also obtained advice from an sc which supports is case ter the end of the financial year, rather than during the financial year. O of gross revenues. Due to the small size of the charity's staff, there is a lack of control over the completeness of revenue Despite your best efforts you feel that you do not have fees in the accounts, as they are not material. You cannot convince management to change its decision. However, you do agree that the amounts are not quantitative material Soubtful debts should be 5540.000. As auditor you believe that the allowance should be $650.000. Management will not change ts estimate. Profit before tax for the years country. Cash balances total 740,000 with the account maintained in the foreign country totalling some 5523.750. You have been unable to obtain a bakaudet certificate or any The client has been unable to supply you with bank statements or other supporting documentation in relation to this bank account Materiality for the client has been set client's financial statements. asset and liability was the asset of cash balances totalling $740,000 that is the dentis a cash boot opinion to be issued and justify your answer. 12 ER O AI X 6 14 y tami SO Curtin Wharing your screen Submit to complete this assessment Question 14 Consider each of the following independent stations Awentory on hand year-end has been voin the financial report of your own risalto low costing to the audit finding the one B. In the previous financial year your the purchased property and entered into a contracto develop a short come and the developed and third party for the financial year an economic recensuited the certs and party cats bens wil below ford by your client just before prend the purchase threatened to forecasts when thing into the contract the amount of damages being medisimaterial to your cet our detained from a win Serior Chich The directors have therefore included no reference to the matter the final report to released. How you heard that the purchased from C. Same scenario except that the purchase threatened action after the end of the financial rather than the inancial year D. You are wuditing Limited, where income out on our to the mechanity staff the stack of control over the completeness touch evidence to conclude that runs complete E Management of WR mid decided not to decise directors in the country You cannot comince management to change its den Hove you 5. Management of limited estimated that the wance for the should you believe that we should be $550. roce $440.000 G. Your clients et bank accounts one of which in foreign country. Co with the account the country to come 27 Toe been third party confirmation with reparto the forebank account the case you with an ements or other contoh SOLODO. All cas balances are as current assets in the financial Would you to be different than asset and it was the chance to that the For each of the above to Admin the sport audit opinion to Question 32 points ancial report of your client. However, net realisable values to below cost according to the audit findings. The difference is a material amount Sentered into a contract to develop a shopping complex and then sell the developed real estate to an unrelated third party for a cost plus settlement price. Following the sale early and occupanty rates being well below forecasts prepared by your client. Just before year end the purchaser threatened to sue for damages, allegint they relied on your clienti ses being chamedisighly matonal to your client. Your client has obtained an opinion from a well-known Senior Counsels which concludes that no damages should be payable. in the financial report to be released next week. However, you have heard that the purchaser has also obtained advice from an 5 which supports its case me after the end of the finantayar rather than during the financial year out of gross revenues. Due to the small size of the chantys stat, there is a lack of control over the completeness of revenue. Despite your best efforts, you feel that you do not have corsfees in the accounts as they are not material. You cannot convince management to change is desion. However, you do agree that the amounts are not quantitatively material for outlet stod be 5540.000. As auditor you beleve that the allowance should be 5650,000, Management will not change its estimate. Profit before tax for the year is en country. Cash tutances total 740.000 with the actont maintained in the foreign country totalling some $528.750, You have been unable to obtain a bank audit certificate or any count. The ci haben unable to supply you with bank statements or other supporting documentation in relation to this bank account. Materiality for the client has been set at in the contenancual statements and it was the sout of cash balances totalling 5740.000 that is the centis as dit open to be und and just your answer Cooler chord Anventory and be without the words the city and hand www Now when I am Then the the Some that the purchase BYO Who enough to code tham Management of the the way Management that the word 10000 5445.000 Watu Gure one who can be that content on to the for the dish Wind your answer and Red For each of the botter Consider each of the following independent situations: A. Inventory on hand at year-end has been valued at cost in the financial report of your client. However, net realisable value is 10% belo B. in the previous financial year your client purchased property and entered into a contract to develop a shopping complex and then seli the financial year, an economic recession resulted in the rentals and occupancy rates being well below forecasts prepared by your clie forecasts when entering into the contract. The amount of damages being claimed is highly material to your client. Your client has obta The directors have therefore included no reference to the matter in the financial report to be released next week. However, you have C. Same as scenario B. except that the purchaser threatened action after the end of the financial year rather than during the financial yea D. You are auditing PF Limited, where net income is generally about 50% of gross revenues. Due to the small size of the charity's staff, then enough evidence to conclude that revenue is complete, E. Management of WER Limited has decided not to disclose directors fees in the accounts, as they are not material. You cannot convincem F. Management of JFL Limited has estimated that the allowance for doubtful debts should be 5540,000. As auditor you believe that the allo $440,000. G. Your client has several bank accounts, one of which is in foreign country, Cash balances total 5740,000 with the account maintained in the third-party confirmation with respect to the foreign bank account. The client has been unable to supply you with bank statements or othe 5480.000. All cash balances are classified as current assets in the client's financial statements. H. Would your answer to scenario G be different if the client's only asset and liability was the asset of cash balances totaling $740,000 (that is Required: For each of the above situations A-H determine the appropriate audit opinion to be issued and justify your answer. een Question 1 32 points endent situation has been alued at con in the financial report of your int. However, a 10% below cost according to the indings. The difference smatramount your cent purchased property and into a contratto develop a shopping complex and then the opera estate to an unted third party for a rostluselement price following the sale early in tren resulted in the rentals and occupancy rates bewe below forecasts prepared by your client before year and the purchase threatened to for damage alegre they relied on your dents the contract. The amount of damages being dames en material to your client. Your Own has obtained an opinion from a well known Senior Conselwch condudes that no damages should be able included no reference tower in the ancial report to be released next wees. However you and that the purchase and vice from a SC which supports its case that the purchase the action after the end of the financial year rather than during the financial year where ne income is generally about 50% of gross revenues. Due to the small size of the crystal, thereck of control of the completeness of revenue. Dette your best efforts. you feel that you do not have Be that we complete ed tus decided not to discose directors in the accounts, as they are not material. You cannot convince management to decor. However you do tree that the amounts are not quantity material has estimated that the towance for outlets should be $540.000. As auditor you believe that the allowance should be 60.000. Management will not change itsestat Profit before tak for the year account one of which in foreign coltry Cash balances total 570.000 with the account and for country to 5500, 750. You have been unable to obtain a bank ad certincat or any with respect to the forebank account. The dient has been unable to supply you with banks of the supporting documentation on to the bank account Maternity for twentus been sett are clasified as current asserts in the candlestiments. na be different if the chants only asset and ability was the set of chances toitaing 1740.000 the dishow A termine the appropriate toon to be issued and your answer Marka CHOR ALTEN MAG graph Atta 14 AM 2. X 5 x x outinho Srpski 7 A Click Submit to complete this assessment. Question 14 Consider each of the following independent situations: A. Inventory on hand at year-end has been valued at cost in the financial report of your B. In the previous financial year your client purchased property and entered into a cont the financial year, an economic recession resulted in the rentals and occupancy rates forecasts when entering into the contract. The amount of damages being claimed is The directors have therefore included no reference to the matter in the financial repo C. Same as scenario B. except that the purchaser threatened action after the end of the D. You are auditing PF Limited, where net income is generally about 50% of gross revenu enough evidence to conclude that revenue is complete. E. Management of WER Limited has decided not to disclose director's fees in the account F. Management of JFL Limited has estimated that the allowance for doubtful debts shoul. $440,000. G. Your client has several bank accounts, one of which is in foreign country. Cash balance third-party confirmation with respect to the foreign bank account. The client has been $480,000. All cash balances are classified as current assets in the client's financial state H. Would your answer to scenario G be different if the client's only asset and liability wast Required: For each of the above situations A-H. determine the appropriate audit opinion to be issued and Question 14 32 points Serie A al report of your client. However, het realisable value is 10% below cost according to the audit findings. The difference is a material amount tered into a contract to develop a shopping complex and then sell the developed real estate to an unrelated third party for a cost-plus' settlement price following the sale atly occupancy rates being well below forecasts prepared by your client. Just before year end, the purchaser threatened to sue for damages allegg they relled on your clients Deing claimed is highly material to your client. Your client has obtained an opinion from a well-known Senior Counsel which concludes that no damages should be payable the financial report to be released next week. However, you have heard that the purchaser has also obtained advice from an sc which supports is case ter the end of the financial year, rather than during the financial year. O of gross revenues. Due to the small size of the charity's staff, there is a lack of control over the completeness of revenue Despite your best efforts you feel that you do not have fees in the accounts, as they are not material. You cannot convince management to change its decision. However, you do agree that the amounts are not quantitative material Soubtful debts should be 5540.000. As auditor you believe that the allowance should be $650.000. Management will not change ts estimate. Profit before tax for the years country. Cash balances total 740,000 with the account maintained in the foreign country totalling some 5523.750. You have been unable to obtain a bakaudet certificate or any The client has been unable to supply you with bank statements or other supporting documentation in relation to this bank account Materiality for the client has been set client's financial statements. asset and liability was the asset of cash balances totalling $740,000 that is the dentis a cash boot opinion to be issued and justify your answer. 12 ER O AI X 6 14 y tami SO Curtin Wharing your screen Submit to complete this assessment Question 14 Consider each of the following independent stations Awentory on hand year-end has been voin the financial report of your own risalto low costing to the audit finding the one B. In the previous financial year your the purchased property and entered into a contracto develop a short come and the developed and third party for the financial year an economic recensuited the certs and party cats bens wil below ford by your client just before prend the purchase threatened to forecasts when thing into the contract the amount of damages being medisimaterial to your cet our detained from a win Serior Chich The directors have therefore included no reference to the matter the final report to released. How you heard that the purchased from C. Same scenario except that the purchase threatened action after the end of the financial rather than the inancial year D. You are wuditing Limited, where income out on our to the mechanity staff the stack of control over the completeness touch evidence to conclude that runs complete E Management of WR mid decided not to decise directors in the country You cannot comince management to change its den Hove you 5. Management of limited estimated that the wance for the should you believe that we should be $550. roce $440.000 G. Your clients et bank accounts one of which in foreign country. Co with the account the country to come 27 Toe been third party confirmation with reparto the forebank account the case you with an ements or other contoh SOLODO. All cas balances are as current assets in the financial Would you to be different than asset and it was the chance to that the For each of the above to Admin the sport audit opinion to Question 32 points ancial report of your client. However, net realisable values to below cost according to the audit findings. The difference is a material amount Sentered into a contract to develop a shopping complex and then sell the developed real estate to an unrelated third party for a cost plus settlement price. Following the sale early and occupanty rates being well below forecasts prepared by your client. Just before year end the purchaser threatened to sue for damages, allegint they relied on your clienti ses being chamedisighly matonal to your client. Your client has obtained an opinion from a well-known Senior Counsels which concludes that no damages should be payable. in the financial report to be released next week. However, you have heard that the purchaser has also obtained advice from an 5 which supports its case me after the end of the finantayar rather than during the financial year out of gross revenues. Due to the small size of the chantys stat, there is a lack of control over the completeness of revenue. Despite your best efforts, you feel that you do not have corsfees in the accounts as they are not material. You cannot convince management to change is desion. However, you do agree that the amounts are not quantitatively material for outlet stod be 5540.000. As auditor you beleve that the allowance should be 5650,000, Management will not change its estimate. Profit before tax for the year is en country. Cash tutances total 740.000 with the actont maintained in the foreign country totalling some $528.750, You have been unable to obtain a bank audit certificate or any count. The ci haben unable to supply you with bank statements or other supporting documentation in relation to this bank account. Materiality for the client has been set at in the contenancual statements and it was the sout of cash balances totalling 5740.000 that is the centis as dit open to be und and just your