clarity regarding preliminary engagement activities

answered 2 hrs ago

madam what is the difference between preliminary engagement activities and and preconditions for audit

latest answer

In laymans terms preconditions to the audit are things that you do to decide wether to take the audit or not and preliminary engagement activities are those you do after deciding to take the audit but before sending the audit engagement letter.

aravind lalji

CA Inter

★ 0

2

15

engagement letter drafting

answered 24 hrs ago

madam, but shouldnt the engagement letter be drafted by the auditor? and if there is some discrepancy isnt that the fault of the auditor??here in this question it is said that the engagement letter has been issued by mea limited .

latest answer

Appointment letter is issued by management, n engagement by auditor. In practicality it’s management who drafts. But before acceptance auditor should be sure about the content there in. Otherwise he will be guilty of professional misconduct

aravind lalji

CA Inter

★ 0

1

27

Professional Ethics

answered 2 days ago

Can CA in practise quote client name and fee in Invoices ? Under schedule 1 part 1

latest answer

He has to quote for the purpose of record . It is a standard practice to include name n service rendered

M V Naresh

CA Final

★ 3K+

2

51

Bank Audit

answered on 03-May-24 18:12

In stock audit, there is a word ' funded exposure ' . Please explain what it's.

latest answer

Thanks Sir 🙏🏻

Mehak K

CA Inter

★ 3K+

3

51

Explanation

answered on 03-May-24 07:41

What is the meaning of timeliness of financial reporting

latest answer

Financial statements n other relevant reports should be make available to stakeholder in timely manner .

Jagadesh Viyyapu

CA Inter

★ 0

1

45

Explanation

answered on 02-May-24 09:29

What is the difference between number of transactions and complexity of transactions and volume of transactions?

latest answer

Number is variety, complexity is transactions like related parties, inter company holdings and volume is multiple transactions of same nature. Likes sales , purchases etc

Jagadesh Viyyapu

CA Inter

★ 0

1

41

Minimum marks

answered on 27-Apr-24 15:19

I have to give audit and fm-sm for May 24 and cleared group 1 in Nov 23. Can I please know how much marks is required to clear group 2

latest answer

40 each and aggregate 100

Riya Verma

CA Inter

★ 0

1

54

Nature, objective and scope of audit

answered on 29-Apr-24 23:18

Please explain the answers with reasons

latest answer

Thank you mam

ARTHI VELLIANGIRI

CA Inter

★ 2K+

4

84

LLP

answered on 28-Apr-24 09:32

Screenshot attached partners in LLP and partnership firm practicing CA Firms

latest answer

LLP is a body corporate qualified to be appointed as an auditor. Only partners who are CA can act and sign on behalf of the LLP. So if all partners are companies, there is no possibility of CA acting ;as Individuals only can be Chartered Accountants .

R Yashwanth Kumar

CA Final

★ 60K+

3

60

Value weighted selection and stratified sampling

answered on 24-Apr-24 18:41

How can we differentiate stratified sampling and value weighted selection? In material it is given that stratified sampling can be done on the basis of monetary value similar as value weighted

latest answer

Value weighted , the population need not be heterogeneous. Even for similar population, we can use value weighted. Focusing on heigh value items more as we look for material misstatement: Stratification usually is for heterogenous population. Basically , the approach differs .

Visruth Vichu

CA Inter

★ 890

1

49