{ "key_pair_value_system": true, "answer_rating_count": "", "question_feedback_html": { "html_star": "", "html_star_feedback": "" }, "answer_average_rating_value": "", "answer_date_js": "2024-06-28T03:38:26-04:00", "answer_date": "2024-06-28 03:38:26", "is_docs_available": null, "is_excel_available": null, "is_pdf_available": null, "count_file_available": 0, "main_page": "student_question_view", "question_id": "4231948", "url": "\/study-help\/questions\/the-question-you-are-an-audit-senior-assigned-to-the-4231948", "question_creation_date_js": "2024-06-28T03:38:26-04:00", "question_creation_date": "Jun 28, 2024 03:38 AM", "meta_title": "[Solved] the question You are an audit senior assi | SolutionInn", "meta_description": "Answer of - the question You are an audit senior assigned to the audit of SoHi Property Limited (SoHi) for the year ended 30 Septe | SolutionInn", "meta_keywords": "question,audit,senior,assigned,sohi,property,limited,year,ended,30,september,20x0", "question_title_h1": "the question You are an audit senior assigned to the audit of SoHi Property Limited (SoHi) for the year ended 30 September 20X0. The audit", "question_title": "the question You are an audit senior assigned to the audit of", "question_title_for_js_snippet": "the question You are an audit senior assigned to the audit of SoHi Property Limited (SoHi) for the year ended 30 September 20X0 The audit of property, plant and equipment (PPE) has been assigned to you Your risk assessment procedures have identified the following information in relation to PPE PPE is a material balance A significant risk has been identified with respect to impairment of PPE Based on the walk through performed, the only controls you expect to be operating effectively relate to the recording of PPE additions and depreciation PPE consists of land and buildings and various fixtures and fittings in head office and in three smaller regional offices The four properties were externally valued last year, and the external valuation was adopted by management and recorded in the financial statements Management has not engaged any external valuer this year, but rather is performing an internal valuation based on the value of similar offices in the area Which of the following audit procedures would be appropriate to address the significant risk of impairment of PPE i Perform tests of controls and tests of details over the impairment of PPE ii Engage an auditor's expert to perform an independent valuation of the four properties iii Apply ISA 540 (Revised) (ASA 540 ISA (NZ) 540 (Revised)) Auditing Accounting Estimates and Related Disclosures Ask management how it made the internal valuation, and develop an understanding of the data on which it is based iv Obtain and verify the authenticity of all the title deeds of the various offices and contracts of purchase O A iii iv O B i ii O C i iv O D ii amp", "question_description": "

the question<\/p>

\"image<\/div><\/div><\/div> You are an audit senior assigned to the audit of SoHi Property Limited (SoHi) for the year ended 30 September 20X0. The audit of property, plant and equipment (PPE) has been assigned to you. Your risk assessment procedures have identified the following information in relation to PPE: PPE is a material balance. . A significant risk has been identified with respect to impairment of PPE. . Based on the walk-through performed, the only controls you expect to be operating effectively relate to the recording of PPE additions and depreciation. . PPE consists of land and buildings and various fixtures and fittings in head office and in three smaller regional offices. . The four properties were externally valued last year, and the external valuation was adopted by management and recorded in the financial statements. . Management has not engaged any external valuer this year, but rather is performing an internal valuation based on the value of similar offices in the area. Which of the following audit procedures would be appropriate to address the significant risk of impairment of PPE? i. Perform tests of controls and tests of details over the impairment of PPE. ii. Engage an auditor's expert to perform an independent valuation of the four properties. iii. Apply ISA 540 (Revised) (ASA 540\/ISA (NZ) 540 (Revised)) Auditing Accounting Estimates and Related Disclosures. Ask management how it made the internal valuation, and develop an understanding of the data on which it is based. iv. Obtain and verify the authenticity of all the title deeds of the various offices and contracts of purchase. O A. iii & iv O B. i & ii O C. i & iv O D. ii &", "transcribed_text": "", "related_book": { "title": "Global Strategy", "isbn": "0357512367, 978-0357512364", "edition": "5th Edition", "authors": "Mike W. Peng", "cover_image": "https:\/\/dsd5zvtm8ll6.cloudfront.net\/si.question.images\/book_images\/649592eaa157d_32303.jpg", "uri": "\/textbooks\/global-strategy-5th-edition-9780357512364", "see_more_uri": "" }, "free_related_book": { "isbn": "1458725359", "uri": "\/textbooks\/the-little-book-that-makes-you-rich-a-proven-market-beating-formula-for-growth-investing-16th-edition-978-1458725356-255565", "name": "The Little Book That Makes You Rich A Proven Market Beating Formula For Growth Investing", "edition": "16th Edition" }, "question_posted": "2024-06-28 03:38:26", "see_more_questions_link": "\/study-help\/questions\/business-business-communication-2023-February-20", "step_by_step_answer": "The Answer is in the image, click to view ...", "students_also_viewed": [ { "url": "\/the-august-bank-reconciliation-for-c-c-limited-balance-per", "description": "The August bank reconciliation for C& C Limited: Balance per bank..................... $ 151,570 Plus: outstanding deposits 17,900 Less: Outstanding cheques ($ 11,245, $ 650, $ 1,570, $ 890, $ 120).....", "stars": 3 }, { "url": "\/study-help\/psychology\/needs-journal-create-a-chart-with-five-rows-one-for-1982575", "description": "Needs Journal Create a chart with five rows, one for each of the five levels in the hierarchy of needs. 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