TUTORIAL 7: SUGGESTED SOLUTIONS
Explain the purpose of (a) prevent controls and (b) detect controls. Why would it
be important for an entity to have both types of controls?
Controls have two main objectives: to prevent or detect misstatements in the
12.11 What is the process of engagement wrap-up? Why is it important?
The process of engagement wrap-up involves the auditor finalising an open items before
issuing their audit report. The finalisation process could include completing a
Tutorial 9 Suggested Answers
11.32 Assessing the results of payroll substantive testing
(a) Based on Williams findings, which accounts are likely to be misstated and which
assertions are violated?
(b) What tests would you recommend that William p
Tutorial 8 Question 2
You are the audit manager of AAA Partners (Chartered Accountants). Your firm will
commence audit of BPP Ltd (a textile manufacture) in two weeks. One of your staff will be
responsible for the audit of payroll and need your guidance o