Exam Question Type ONE

↳
Actions to be taken
before signing
Implications Auditor / Implications Audit audit
report
for for
.

Report I Impact
Audit Report Auditor discuss issues with TCWG
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on will

G convince them adjustments

for before
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materiality I Mark audit opinion
modifying
Evaluate Audit issues / I Mark tissue -

Auditor will take written confirmation

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Matters to Consider that

they
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management
aware
from
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Accounting issues about misstatement G auditor has

General audit issues them but still are not

they
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informed ,

Audit I mark them

→ Impact on
opinion correcting
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→ other impact on audit lmarkl

impact
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Overall Audit than misstatements

impact on
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Page
Page 150 174
of 416
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of
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booked Co contract audit misstatement is PBT 9 10.81

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worth $5m represents Fb Assets do material G pervasive to Fs
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do material to Fs audit will result Claim build Co 440M

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heading to creates present obligation Org
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end 9 contract relates to Further a sub

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year
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entire the basis that Auditor will discuss this misstatement it represents 177 't PBT Further
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profit

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have till end It with TCWG 9 them adjustment balance $3m which
for holds Cash
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contract IF do not then to $4 failure to

argument
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profit of incomplete they agree they will be are
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apportionment warned about
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then Ols written Daren Co assets which Gc status

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management they informed by management
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71-8 auditor about misstatement but still

they : audit opinion will remain
unmodified
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didn't correct it due to this matter However management

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July 014 31 Jan 015 7- Complete Auditor should review similar sales contract must disclosure material uncertainty
of
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give
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315am 015 8M incomplete disclosure

30 Sep because Gc with claim
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have recognized revenue

wrongly in them also .
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uncertainty on in

added in audit
report basis other
information other para
after of
in
information
opinion para to explain material uncertainty audit report
of
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claim .

para will
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management given appropriate . .

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report also includes mute para due to
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management
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given appropriate of information
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a

opinion will be para will MUGC

para
affected
come
after
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Auditor should chances Discuss with

management that what
of outflow
are
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verify
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past precedents similar the basis 201 PBT when

by of
on in
reviewing arguing growth ,

minutes court actual 12.51

growth
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of
cases
proceedings in is . .
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Gmarks Review last re 9 recalculate

integrated report year growth
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report States that PBT has in PBT to actual rate

Integrated verify growth
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actual Discuss with Tewes about

increased
by 201 whereas inconsistency of
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growth
in PBT is 12.51 .
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data in other
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it
This shows a misstatement in
integrated integrated report as will
affect reliability
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report which can
regarded as
of
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other to Fb
information
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indicators
Key Performance
in
given
not
integrated report are part of
FS at audit opinion will not be

affected due to misstatement in them .