In this assignment, you will prepare a two to three (2-3) page professional document that fully addresses the requirements specified in the case. Include at least two (2) current references to scholarly and/or authoritative sources.
Specifically you will need to:
Explain the audit procedures for acquisition and disposal of property, plant, and equipment related to the occurrence, accuracy, and completion assertions.
Using examples, explain and demonstrate how auditing the disposal of property, plant, and equipment provides evidence of depreciation expense.
Form conclusions about a selected sample of acquisitions of property, plant, and equipment.
In more detail:
a. You are auditing the acquisition of property, plant, and equipment. Explain the audit procedures to audit the following assertions.
Occurrence of acquisitions of property, plant, and equipment.
Accuracy of acquisitions of property, plant, and equipment.
Completeness of acquisitions of property, plant, and equipment.
b. You are auditing the disposals of property, plant, and equipment. Explain the audit procedures to audit the following assertions.
Occurrence of disposals of property, plant, and equipment.
Accuracy of disposals of property, plant, and equipment.
Completeness of disposals of property, plant, and equipment.
c. How does auditing the disposals of property, plant, and equipment provide evidence related to depreciation expense?
d. You select the following sample of acquisitions of property, plant, and equipment. What can you conclude about the acquisitions of property, plant, and equipment from this evidence? Tolerable misstatement for property, plant, and equipment is $1 million.
Your assignment must follow these formatting requirements:
Be typed, double-spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or SWS format. Check with your professor for any additional instructions.
Use at least two (2) current, quality academic or authoritative sources in this assignment. Note: Wikipedia and similar websites do not qualify as quality scholarly and/or authoritative sources. Use the Strayer University Library to conduct your research.
