What is Corporate Level Strategy i.e. the Strategy which CLARIFIES what businesses should we (an Entity) be in? What is Corporate Level Strategy? It is Concerned with DECIDING which business or businesses an entity should be in and setting targets for the achievement of the entity’s overall objectives. 1. Elements … Read More
What is the Difference between Assets and Liabilities? a Concept that STATES ‘Assets’ as Economic Resources owned or controlled by an entity to provide future benefits, AND ‘Liabilities’ represent the Obligations or Debts owed by an entity to external parties. Assets (As Per IAS 1) ‘Assets’ are Economic Resources owned … Read More
Contingent Liabilities are potential OBLIGATIONS that may or may not come into existence, depending on the occurrence or non-occurrence of one or more future events that are not entirely within the control of the entity. They are often referred to as “Off-Balance Sheet” items because they are not reflected in … Read More
A Contingent Asset is a potential asset that may only be REALIZED if a certain condition is met. i.e, it is an asset that only has VALUE if a specific event occurs. This event can be internal to a company or external, such as changes in market conditions. Contingent Asset … Read More
ISA 810 (Revised) DEALS with the auditor’s responsibilities RELATING to an engagement to report on ‘Summary Financial Statements’ derived from Financial Statements audited in accordance with ISAs by that Same auditor. ISA 810 (Revised) – Introduction 1. Scope of this ISA It deals with the auditor’s responsibilities relating to an … Read More
ISA 720 (Revised) DEALS with the auditor’s responsibilities relating to other information, Whether financial or non-financial information (other than ‘Financial Statements‘ and the ‘Auditor’s Report‘ thereon) INCLUDED in an entity’s Annual Report. ISA 720 (Revised) – Introduction 1. Scope of this ISA It deals with the auditor’s responsibilities relating to … Read More
ISA 710 DEALS with the auditor’s responsibilities RELATING to comparative information in an ‘Audit‘ of Financial Statements. ISA 710 – Introduction 1. Scope of this ISA It STATES that when the financial statements of the prior period have been audited by a predecessor auditor or were not audited, the Requirements … Read More
ISA 620 (Revised) DEALS with the auditor’s responsibilities RELATING to the work of an individual or organization in a field of expertise OTHER than accounting or auditing, when that work is used to assist the ‘Auditor’ in obtaining sufficient appropriate audit evidence. ISA 620 (Revised) – Introduction 1. Scope of … Read More
ISA 580 (Revised and Redrafted) DEALS with the auditor’s responsibility to OBTAIN Written Representations from Management and where appropriate, those charged with governance in an ‘Audit‘ of Financial Statements. ISA 580 (Revised and Redrafted) – Introduction 1. Scope of this ISA It deals with the Auditor’s Responsibility to obtain ‘Written … Read More
ISA 540 (Revised) DEALS with the auditor’s responsibilities RELATING to Accounting Estimates and Related Disclosures in an ‘Audit‘ of Financial Statements. ISA 540 (Revised) – Introduction 1. Scope of this ISA It INCLUDES Requirements and Guidance that refer to or expand on how ISA 315 (Revised), ISA 330, ISA 450, … Read More