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Using work of internal auditor
Auditing
answered on 27-Jan-26 08:00
“The external auditor in some circumstances use audits or reviews of financial information by internal auditor of subsidiaries which is not a significant component to the group provided it doesn’t conflict with the requirement of SA 600”, in this regard can you provide some examples where such use of work by external auditor conflict with SA600
latest answer
Suppose, Internal auditor of the subsidiary -reports to local management, -has performance appraisal and remuneration influenced by subsidiary CFO, -lacks sufficient technical competence. The group auditor still uses the work due to low materiality. Conflict with SA 600 and 610 is- The group auditor must evaluate: • objectivity, • competence, • systematic and disciplined approach. Group audit risk cannot be justified on “low significance” when objectivity or competence is impaired. So here, the use of work by external auditor conflict with SA600 Let me know if you need some more clarity or examples
Mhd Mmp
CA Final
★ 585
1
95
Revaluation where decommissioning liability is there
Financial Reporting
answered on 13-Feb-26 13:03
When we buy an Asset, we add the present value of the decommissioning liability (Say 100+20). But when we revalue it, say based on DCF, (eg at Rs 110) we consider the liability as a negative right? So when we revalue it, should we not add back the present value twice? (20+20+100 so 140)
latest answer
Understood, thank you sir
Vishnu Muraleedharan
CA Final
★ 32K+
6
89
present value
Financial Reporting
answered on 25-Jan-26 12:11
sir, here we getting benefit interest but why are we calculating fair value of loan, instead why we not calculate by difference of interest rates and discount the interest of 15lakhs(25lakhsx%x5years) [Video Time Stamp: 04:32]
latest answer
You will understand the full logic in Ind AS 109
santosh durgapu
CA Final
★ 2K+
1
58
Goodwill allocation
Financial Reporting
answered on 27-Jan-26 10:27
Sir goodwill on acquisition is not only allocated to the acquired business but also to the existing business right???? In this question goodwill is allocated to CGU A,B,C alone as the ratio is mentioned in the question.... If nothing is mentioned about allocation of goodwill that is no ratio is given and the carrying value of SUN Ltd is also given means..... Will we allocate Goodwill to Existing Business (SUN Ltd) as well??? If so who or in what basis we'll allocate the Goodwill??? [Video Time Stamp: 09:25]
latest answer
The question will specify basis of allocation.
Mohanbabu N
CA Final
★ 3K+
1
96
Change in ownership
Financial Reporting
answered on 24-Jan-26 09:51
If there is no loss of control, then we have to disclose under Financing activity, this is applicable only for CFS or even standalone?? [Video Time Stamp: 06:28]
latest answer
For standalone its a disposal of investment so investing activities
Shilpa hosmane
CA Final
★ 12K+
1
103
Articleship
Others
answered on 29-Jan-26 16:21
Sir what is the monthly practical training record? And how to maintain it?
latest answer
Your principal will guide.
Priyanka R
CA Final
★ 20K+
1
82
illustration 44
AFM
answered on 24-Jan-26 07:20
Why dividend is cost for Xyz limited ..since they have only borrowed it will be directly received by Mr A na..so..it won't be cost for XYZ limited Equity valuation in AFM [Video Time Stamp: 22:46]
latest answer
Think of this as follows If u borrow a hen and keep it in your house. When it lays an egg initially u have possession of the egg. but u have to give the egg back to the person from whom u borrowed the hen 😀 Same logic applies here
Kanakesh 05
CA Final
★ 50
1
74
Mutual fund
AFM
answered on 24-Jan-26 17:35
Is the formula used in question no.8 is correct or is it a mistake sir
latest answer
Thank you sir for clarifying
Divakar P
CA Final
★ 320
2
65
UDIN for Auit Report
Auditing
answered on 29-Jan-26 16:55
Mam, i see two diffrent auditors giving two different UDIN for the same audit report. Is it valid in practice? that same document can have two different UDINs? [Video Time Stamp: 09:15]
latest answer
Understood this as i covered SA 600, Thank you mam for the clarification
Vinod Kumar
CA Inter
★ 11K+
10
93
Syllabus sequence
Accountancy
answered on 23-Jan-26 18:39
Sir, In ICAI Syllabus, Accounting standards are been listed and grouped under specific chapters like asset based AS's like that. Should we have to study in that sequence or As per sequence of your study material.
latest answer
Ok sir. Thank you
Jagadeesh Jaidev
CA Inter
★ 645
2
89