a. Your audit firm has been the statutory auditors for Apenkwa Co. Ltd. for the last three years. The company prepares its financial statements to December 31 each year. Apenkwa Co. is into production of consumable goods. Apenkwa has 20 wholesalers and 73 retailers for which goods are sold to. During the year ended 31st December, 2018, all the 12,503 consumable goods produced were sold. Selling price for one good is GHC 100 (that is GHC 1,250,300 for total sales value) but only GHO 1,200,300 is shown in the cash book account. Required As an auditor of your firm, state the audit work you would carry out to obtain audit evidence ir reference to above case
a. Your audit firm has been the statutory auditors for Apenkwa Co. Ltd. for the last three years. The company prepares its financial statements to December 31 each year. Apenkwa Co. is into production of consumable goods. Apenkwa has 20 wholesalers and 73 retailers for which goods are sold to. During the year ended 31st December, 2018, all the 12,503 consumable goods produced were sold. Selling price for one good is GHC 100 (that is GHC 1,250,300 for total sales value) but only GHO 1,200,300 is shown in the cash book account. Required As an auditor of your firm, state the audit work you would carry out to obtain audit evidence ir reference to above case
Financial Accounting
14th Edition
ISBN:9781305088436
Author:Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:Carl Warren, Jim Reeve, Jonathan Duchac
Chapter17: Financial Statement Analysis
Section: Chapter Questions
Problem 2CP
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![a. Your audit firm has been the statutory auditors for Apenkwa Co. Ltd. for the last three years. The
company prepares its financial statements to December 31 each year. Apenkwa Co. is into
production of consumable goods. Apenkwa has 20 wholesalers and 73 retailers for which goods
are sold to. During the year ended 31st December, 2018, all the 12,503 consumable goods produced
were sold.
Selling price for one good is GHC 100 (that is GHC 1,250,300 for total sales value) but only GHO
1,200,300 is shown in the cash book account.
Required
As an auditor of your firm, state the audit work you would carry out to obtain audit evidence ir
reference to above case](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F42d31fbf-cabc-463a-9aa9-22bf6f4c5242%2F8223fda5-b669-42fe-b92a-b98b3972a32d%2Fahx81x_processed.png&w=3840&q=75)
Transcribed Image Text:a. Your audit firm has been the statutory auditors for Apenkwa Co. Ltd. for the last three years. The
company prepares its financial statements to December 31 each year. Apenkwa Co. is into
production of consumable goods. Apenkwa has 20 wholesalers and 73 retailers for which goods
are sold to. During the year ended 31st December, 2018, all the 12,503 consumable goods produced
were sold.
Selling price for one good is GHC 100 (that is GHC 1,250,300 for total sales value) but only GHO
1,200,300 is shown in the cash book account.
Required
As an auditor of your firm, state the audit work you would carry out to obtain audit evidence ir
reference to above case
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