Question 4b i
Marking Guide
up to 1 mark per relevant substantive procedure, max of 4 marks for each issue. | |
| depreciation | |
| review the reasonableness of the depreciation rates and compare to industry averages | |
| review the capital expenditure budgets | |
| review profits and losses on disposal for assets disposed of in year | |
| recalculate the depreciation charge for a sample of assets | |
| perform a proof in total calculation for the depreciation charged on the equipment | |
| review the disclosure of depreciation in the draft financial statements | |