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Answer: Audit planning is the process under which strategies are designed for conducting the estimated outcome those are also considered as the audit scope within the entity. The time, nature and extent of the plan may vary with the nature of the company and the industry in which it conducts its operation. For instance, if the business is operated on large scale, the strategies and its implementation will take longer times and the accord...Read More
Answer: Auditor’s main objective is to develop a plan for audit so that the audit can be performed in efficient manner. Audit plan highlights the risk areas and based on the findings audit procedures are carried out for the risk – prone areas. 3 major components of successful audit are – (i) Timing – it is the continuous procedure that starts with the ending of previous audit and finishes after completion of audit (ii) ...Read More
Answer: Introduction Auditing can be explained as the process of evaluating along with investigating the financial reports published by the companies for evaluating that such reports are devoid of any material misstatements, frauds, errors and certain aspects. For this reason, the auditors need to enhance the quality of its audit report by means of revealing material-based information related with the company’s annual report(Chand, Pate...Read More
Answer: At the time to prepare the audit reports, auditors have the responsibility to disclose information about all the key audit matters related to the material misstatements of the financial reports in order to enhance the quality of the audit reports (Murphy and Yetma 2015). After the detection of these key audit matters, the responsibility is on the auditors to disclose them to the major stakeholders of the company so that they can know a...Read More
Answer: Introduction: Based in Sydney Cochlear Limited is a manufacturing entity that designs, manufactures and sales medical implants of different types. Since its inception the company has expanded its business rapidly to be a leading company in the industry. The work of the auditor of the company shall be verified on the basis of the information provided in annual report of the company. Auditor’s independence declaration: As per th...Read More
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