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<p style="text-align:justify;"><em><strong>a) Kingston Cotton Mills case</strong></em><em><strong>b)London Oil Storage Co. Case</strong></em><em><strong>c) London and General Bank case</strong></em><em><strong>d) None of the above</strong></em></p>
sorry I do not know.
a & c are the basis for many references
Option D
I think this judgement was stated in the case of 'Westminster Road Construction and Engineering Co. Ltd. (1932)', it was held that an auditor must make the fullest use of all the materials available to him and althoughhe is neither a stock taker and nor a valuer
Really its practical or I can say none of the above
I agree with Option D and the explanation given by the expert Mr. @SHINU SAM JOY
SORRY
I DO NOT KNOW
d
Auditor Position Regarding Valuation:
An auditor can obtain the certification of valuer and other competent persons. Usually, the assets are valued by responsible officials. An auditor audits many types of companies and he can’t be an expert to value all kinds of assets.
An auditor is not a valuer, and can’t be expected to act as such. All that he can do is to verify the original cost price and to ascertain as far as possible the current values are fair and reasonable and are in accordance with accepted principles.
It must be borne in mind that the actual valuations are made by officials who have a practical knowledge of such assets and that an auditors duty is confined to testing the valuations as far as he can and in this way satisfy himself with correctness of the BS position. However, he can’t guarantee the accuracy of valuations.
Answer: Option D
I do not know the answer
