Q.1. KPMG Auditing Firm is appointed to conduct annual audit of Dhofar Beverages Company for the financial year 2020. During physical verification of management reports, the auditor found following overstated values: i. ii. iii. iv. Stocks (raw material): 17% overstatement in reported value of OMR 50,000 Account receivables: 11.6% overstatement in reported value of OMR 220,000 Operating Expenses: 24.5 % overstatement in reported value of OMR150,000 Depreciation Expense: 11.75 % overstatement in reported value of OMR 71,500 Required: a) In view of above the scenario, calculate consolidated overstated amount 10 Marks b) In view of the above scenario, which type of audit report will be issued by KPMG auditing firm? Justify your answer. 10 Marks Answer I Moll) a