question 10 You have been appointed the external auditor of BOA Ltd. On 25 August 2019, you were advisedby management that one of BOA's material debtors had filed for bankruptcy. The debtor's businesshad been badly affected by changes in consumer demands in recent years. The debts owed to BOAwere $25 million.Additional information:• Annual balance date: 30 June 2019• Completion of audit fieldwork: 17 August 2019• The signing of audit report: 23 August 2019• Publication of financial statements: 4 September 2019Required:State what the auditor will either do or request Management to do. Justify your response.

Answer: Annual date of financials = 30 June 2019 Completion of audit work = 17 August 2019 Sign of…

You have been appointed the external auditor of BOA Ltd. On 25 August 2019, you were advised by management that one of BOA’s material debtors had filed for bankruptcy. The debtor’s business had been badly affected by changes in consumer demands in recent years. The debts owed to BOA were $25 million.

You have been appointed the external auditor of BOA Ltd. On 25 August 2019, you were advised by management that one of BOA’s material debtors had filed for bankruptcy. The debtor’s business had been badly affected by changes in consumer demands in recent years. The debts owed to BOA were $25 million.

Auditing: A Risk Based-Approach (MindTap Course List)

11th Edition

ISBN:9781337619455

Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Chapter13: Auditing Debt, Equity, And Long-term Liabilities Requiring Management Estimates

Section: Chapter Questions

Problem 28RQSC

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