MCAA U4DB response 1 and 2

MCAA U4DB response 1
Financial statements of an entity reflect the performance of the firm as well as its going concern. The information presented, therefore, should adequately reflect how well or poorly the firm is currently doing with the major characteristics of good financial information being: complete records, relevant to the firm, accurate and properly valued/estimated figures. This information is also quite relevant to the auditor who uses the information to report the performance and financial well-being of the firm.
MCAA U4DB Response 1 JM
The work was properly researched and well detailed so that anyone without much understanding of accounting could read and understand what is expected when preparing and presenting financial information. The work clearly illustrates the different concepts, for instance, the occurrence of the various transactions and when they should be reported, e.g., wages and salaries expenses are only recognized in the period they occur, and such which relate to the entity only (Accounting Simplified). Whereas for auditing, the auditor should always present an unbiased opinion presented in the form of a report and when incapable of doing so give reasons (AU Section 105, 2001), in performance of their job they should always exercise professionalism for instance by gathering all the necessary information that will enable them to give an opinion.
The work is well done such that there is only little that could be added to enhance the informati…