a) An auditor should form an opinion on the adequacy of the accounting treatment of an inherent uncertainty disclosed in the financial statements of a company.
i) What is meant by the term “inherent uncertainty”? (2 marks)
ii) Explain the treatment of inherent uncertainties in the auditor’s report. (6 marks)
b) Summarise the principal contents of a statement of directors’ responsibilities to be included in financial statements. (8 marks)
c) Explain the steps an auditor should take if he concludes that the client has made a departure from an accounting standard in the preparation of the financial statements.
(Total: 20 marks)
Why Choose CustomEssayMasters.com?
♦ 24/7 customer support
♦ On-time delivery guarantee
♦ Plagiarism-free research papers
♦ Affordable and student-friendly prices
♦ Scholarly-rich custom-written papers
♦ 100% privacy and confidentiality