The current IFRS-based Financial Accounting Standards for financial reporting (financial reporting) place great emphasis on the importance of assessing fair value for both the assets and liabilities of a company. Fair value information is believed to have value relevant to stakeholders.

In practice, when it is known that an asset has been impaired, the financial statements must immediately recognize the impairment loss that has occurred. In the case that happened to Karen Agustiawan, former Main Director of Pertamina, the Attorney General's Office accused of state losses of IDR 568.05 billion based on the State Loss Calculation Report from KAP Drs. Soewarno Ak. This report turned out to be based on the Financial Statements audited by Ernst & Young which stated that there was an impairment in the BaskerManta Gummy (BMG) Block in Australia.

Question:

a. Explain the difference between the Financial Statements audited by the Public Accounting Firm (Ernst & Young) and the KAP Drs Soewarno State Losses Calculation Report.

b. Mention the deficiencies that occur in the State Loss Calculation Report

c. If you were asked to calculate state losses in this case, what steps would you take to prove this case (regardless of the outcome of this case)