(b) Wallace Co; and (5 marks)
(b) State, with reasons, the principal additional information that should be made available for your review ofRobson Construction Co. (8 marks)
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(c) State the specific inquiries you should make of Robson Construction Co’s management relevant to itsaccounting for construction contracts. (6 marks)
(c) Explain the possible impact of RBG outsourcing its internal audit services on the audit of the financialstatements by Grey & Co. (4 marks)
In relation to the courts’ powers to interpret legislation, explain and differentiate between:(a) the literal approach, including the golden rule; and (5 marks)(b) the purposive approach, including the mischief rule. (5 marks)
(ii) Briefly explain the implications of Parr & Co’s audit opinion for your audit opinion on the consolidatedfinancial statements of Cleeves Co for the year ended 30 September 2006. (3 marks)
(b) Explain what effect the acquisition of Di Rollo Co will have on the planning of your audit of the consolidatedfinancial statements of Murray Co for the year ending 31 March 2008. (10 marks)
(b) Explain the matters that should be considered when planning the nature and scope of the examination ofCusiter Co’s forecast balance sheet and income statement as prepared for the bank. (7 marks)
