(e) Ding Berhad (Ding) manufactures men's clothing and its year end was 31 July 2020.You are an audit supervisor of Jean Partners (Jean) and the year-end audit for Ding isdue to commence shortly. The draft financial statements recognise profit beforetax of RM3.2 million and total assets of RM3.6 million. You have been givenresponsibility for auditing receivables, which is a material balance, and as part of theaudit approach, a positive receivables circularisation is to be undertaken.wwowwwwwwwwwwww wwRequired:(1) Identify the steps the auditor should perform in undertaking a positive receivablesçirçularisation for Ding Berhad.(ii) Develop substantive procedures, other than a receivables circularisation, theauditor should perform to verify EACH of the following assertions in relation toDing's receivables:1) Accuracy, valuation and allocation2) Completeness, and3) Rights and obligations.wwwwwww wwwwwwwMwwwwwwww ww wwwS.

Positive Receivable Circularization The main duties and responsibilities of auditor in an entity to…

(i) Identify the steps the auditor should perform in undertaking a positive receivables circularisation for Ding Berhad. (ii) Develop substantive procedures, other than a receivables circularisation, the auditor should perform to verify EACH of the following assertions in relation to Ding's receivables: 1) Accuracy, valuation and allocation 2) Completeness, and 3) Rights and obligations. www wwwwww wwwwwwwww m

(i) Identify the steps the auditor should perform in undertaking a positive receivables circularisation for Ding Berhad. (ii) Develop substantive procedures, other than a receivables circularisation, the auditor should perform to verify EACH of the following assertions in relation to Ding's receivables: 1) Accuracy, valuation and allocation 2) Completeness, and 3) Rights and obligations. www wwwwww wwwwwwwww m

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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