Oh out of You are auditing Galaxy Ltd. a company which builds large projects mostly overseas. At present it is building a dam in the Philippines, a motorway in South Africa and a holiday village in Egypt. The audit team has been asked to devise audit procedures for the verification of work in progress balances as part of inventories. From the test below select whether you would include them as VLAID tests or exclude them as INVALID with appropriate reasoning. (1*4 = 4 marks) a) Read contracts and note estimated completion date and penalty clauses. b) Visit each construction site to verify the stage of completion of the contract. c) Review the costing system and allocation of costs to each contract. d) Review calculation of profit to be taken on all contracts at least 50% completed. 7 A B I SS