MAY / JUNE 2018 EXAM MEMO REFERENCES UPDATED FOR 11th & 12th

EDITION OF AUDITING NOTES FOR SOUTH AFRICAN STUDENTS:

QUESTION 1:

QUESTION 11th Edition reference 12th Edition reference

Q1.1. Compliance to the King IV Report (2016: 50- King IV Report (2016: 50-
King IV Report 59) 59)
(6 marks)
Q1.2. Six instances Companies Act of 2008, Companies Act of 2008,
where a director may be Section 77 Section 77
held liable for losses to Adams, Diale & Richard Richard, Roets, Adams &
the company (2019: 3/40 – 3/41) West (2021: 3/40 - 3/41)
(9 marks)
Q1.3. Responsible King IV Report (2016: 56 - King IV Report (2016: 56 -
committee or individual 70) 70)
for each activity as listed
(10½ marks)
Q1.4. Five risks which a Adams, Diale & Richard Richard, Roets, Adams &
company might face (2019:13/2 – 13/5) West (2021: 13/2 – 13/4)
relating to its workforce
(7½ marks)
Q1.5. Application or Adams, Diale & Richard Richard, Roets, Adams &
General Controls and (2019: 8/10, 8/40, 8/4-8/9) West (2021:5/3; 8/4 –
components of internal 8/10; 8/10; 8/41)
control
(17 marks)

QUESTION 2

QUESTION 11th Edition reference 12th Edition reference

Q2.1. SIX limitations of Adams, Diale & Richard Richard, Roets, Adams &
internal controls (2019: 5/3 – 5/4) West (2021: 5/3 – 5/4)
(9 marks)
Q2.2. EIGHT internal Adams, Diale & Richard Richard, Roets, Adams &
controls for granting (2019: 10/30 – 10/31) West (2021: 10/30)
credit terms and limits of
new customers
(12 marks)
Q2.3. Internal controls to Adams, Diale & Richard Richard, Roets, Adams &
address weaknesses in (2019: 11/21 – 11/25, West (2021: 11/20 –
the acquisitions and 8/16) 11/11/24; 8/15 – 8/19)
payments cycle
(12 marks)
Q2.4. Planning and Adams, Diale & Richard Richard, Roets, Adams &
preparation procedures (2019: 12/10 – 12/11) West (2021: 12/11)
for conducting a year-
end inventory count
(14 marks)
Q2.5. Major risks for the Adams, Diale & Richard Richard, Roets, Adams &
investments cycle (2019: 14/3) West (2021: 14/3; 14/6 –
(3 marks) 14/7)