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In the course of your audit of the financial statements of Asat Bhd, you discovered that the non-current asset control account of ''Machinery'' showed only the beginning balance of RM5,858 million. There were no entries made during the year. You have carried out the test checks by inspection to establish the physical existence of the machinery. You have also compared the amount with the individual accounts in the plant ledger. As a result of this investigation, you discovered that some machines that were installed during the year were not recorded in the plant ledger. These new machines were purchased to replace the older machines that had been sold, but the ledger cards for these older machines had not been removed from the plant ledger.

Required: What step should you take to ascertain that the figure shown for "Machinery" in the yearend balance sheet has been fairly stated? You may answer this by answering the following questions: I) Identify and explain three (3) assertions for the audit procedures done on property, plant and equipment for Asat Bhd II) Suggest one (1) test of control you would have used in addressing each assertion above. Please present vour answers to Duestions 4( I) \& (II) above in the followind format: III) Conclude your answer by elaborating on the risks of possible misstatements in the property, plant \& equipment accounts above and by suggesting solutions to the risks of possible misstatements

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