(a(i))[2]
Explain the meaning of ‘stewardship’.
(a(ii))[2]
Explain how directors fulfil their stewardship role in a limited company.
(a(iii))[2]
Explain the purpose of an audit at the end of the year.
(b(i))[5]
Calculate what the closing inventory value should have been.
(b(ii))[1]
Calculate the gross profit earned for the year.
(c)[3]
Calculate the percentage change in gross profit if the inventory valuation from the warehouse had been used.
(d)[6]
Discuss three possible causes of the gap between the warehouse inventory valuation and the calculated inventory value.
(e)[4]
Discuss whether the directors ought to use the warehouse inventory valuation or the figure from the accounting records as the inventory amount in the financial statements. Justify your answer.