Summary ISA 315 Friday, October 9, 2020 8:11 PM New Section 1 Page 1 Drafting technique Sunday, October 10, 2021 11:38 AM New Section 1 Page 2 New Section 1 Page 3 Question 1 Sunday, October 10, 2021 11:33 AM New Section 1 Page 4 Question 2 Sunday, October 10, 2021 11:40 AM New Section 1 Page 5 Question 3 Sunday, October 10, 2021 11:49 AM New Section 1 Page 6 New Section 1 Page 7 Question 4 Sunday, October 10, 2021 11:55 AM New Section 1 Page 8 Wednesday, October 13, 2021 7:18 PM New Section 1 Page 9 Wednesday, October 13, 2021 7:18 PM New Section 1 Page 10 Saturday, October 16, 2021 6:10 PM New Section 1 Page 11 Audit risk There is a risk that revenue from fees income and sale of goods is misstated due to following reasons: Fees income may be recognized immediately on receipt of fees rather than recognized on monthly basis as the services are rendered. Discounts given to students may not be accounted for properly, resulting in overstatement of revenue. There is a risk that revenue related to sale of course material is in appropriately classified as part of the university fees, as a result of which it may have been recognized proportionately on the basis of time (services provided). Entire revenue from sale of course material may not be recognized. New Section 1 Page 12 Saturday, October 16, 2021 6:11 PM SUGGESTED ANSWER There is a risk of embezzlement in cash collection and inventory. Donation for food are recorded in donation for education account and vice versa. Contributions are spent on other than intended purpose. There is a risk that the money spent on administration is not recorded as administration cost and is misclassified. Since only one person is responsible for managing the accounts, there is a lack of segregation of duties and hence risk of fraud and error may arise. Since there is no full time person to look after the accounts, there is a risk that transactions are not recorded on a timely basis. New Section 1 Page 13 Sunday, October 17, 2021 12:13 PM New Section 1 Page 14 Sunday, October 17, 2021 12:13 PM New Section 1 Page 15 Sunday, October 17, 2021 12:13 PM New Section 1 Page 16 New Section 1 Page 17 Sunday, October 17, 2021 12:40 PM New Section 1 Page 18 17th October,21 Sunday, October 17, 2021 1:00 PM New Section 1 Page 19
