MGT421H5 Lecture 9: Lecutre-Mon-Dec5th-2016
Document Summary
Preliminary analytics: calculating ratios + bring calculator. Short form questions, related directly to the case. Materiality does(cid:374)"t re(cid:373)e(cid:373)(cid:271)er if (cid:449)e ha(cid:448)e to (cid:272)al(cid:272)ulate (cid:271)ut she (cid:449)o(cid:374)"t rule it out. She might ask about particular cas for certain aspects of the case. I/s assertions (transaction: occurrence, completeness, accuracy, cut-off, classification. B/s assertions (account balance: existence, completeness, rights & On exam, specifically will ask which combined assertions do you have to worry about: does(cid:374)"t (cid:449)a(cid:374)t to see tra(cid:374)sa(cid:272)tio(cid:374), a(cid:272)(cid:272)ou(cid:374)t et(cid:272). Cut-off can belong in either existence & occurrence or completeness. Transaction happens beginning of 2016, should transaction belong in 2015, or 2016 worried about completeness. If does(cid:374)"t i(cid:373)pa(cid:272)t a(cid:374)(cid:455) (cid:448)aluation of an account, only related to presentation and disclosure. Example: see cash account, come up with assertion. Rights and obligations restricted cash, if you see in case, you worry about this assertion. Presentation & disclosure always there, is it presented in right place, disclosed as it should be.
