You are now nearing the completion of the audit of Dawson Co Ltd for the year ended 31 December 2019.You have been asked to concentrate on the sources of the evidence obtained. While reviewing the working papers you noted that your junior officers have recorded thefollowing sources of evidence: (i) Oral representation by management in respect of the completeness of sales where the majority of transactions are conducted on a cash basis. (ii) Year-end suppliers' statements (iii) Physical inspection of a non-current asset by an auditor One of your responsibilities is to act as a mentor to junior officers into the department Laying much emphasis on sufficiency and appropriateness of Audit procedures as per IAS 500, discuss with your junior officers the extent to which each of the above sources of audit evidence is sufficient and appropriate.
You are now nearing the completion of the audit of Dawson Co Ltd for the year ended 31 December 2019.You have been asked to concentrate on the sources of the evidence obtained. While reviewing the working papers you noted that your junior officers have recorded thefollowing sources of evidence:
(i) Oral representation by management in respect of the completeness of sales where the majority of transactions are conducted on a cash basis.
(ii) Year-end suppliers' statements
(iii) Physical inspection of a non-current asset by an auditor
One of your responsibilities is to act as a mentor to junior officers into the department
Laying much emphasis on sufficiency and appropriateness of
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