Acquisition of Craig Co

1 mark per matter, 1 mark per specific procedure

Matters:

– Non-adjusting event
 – Ref IAS 10 (½ mark only)
 – Note to disclose
 – Implication for audit report if not disclosed

Evidence:

– Copy of press release announcing acquisition
 – Copy of legal agreement or due diligence report on acquisition
 – Review of financial statements to determine significance of acquisition
 – Review of any note disclosed

Max marks 5