You have been engaged to conduct the audit of Computer Limited for the year ending...
60.1K
Verified Solution
Link Copied!
Question
Accounting
You have been engaged to conduct the audit of Computer Limited for the year ending 31 August 2021. The company is a retailer of computers and related devices. One of the audit team members (an accounting graduate) while auditing Property, Plant and Equipment (PPE) assets tested the additions and disposals during the year and recalculated the depreciation expenses. Based on the evidence that no error was found in the additions, disposals and depreciation expense for the year, the audit team member concluded that PPE has a material balance and was appropriately valued. Thus, it does not require any further audit. Required: Explain whether the team members conclusion on the audit of PPE is appropriate? If not, justify what further audit (scope) is required in relation to PPE? (8 marks)
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
