After a while, Brekdak as head of the Accounting Department realized that the system of record that had been working for the last 2 years at PT. Suka Maju experienced a misstatement due to an error in adopting an estimate from the accounting records that turned into a straight-line method. The changes of used in the depreciation estimation method, cause the company's performance to decline and how were errors found in the recording of the financial statement accounts.

Required:

• As a professional auditor who found these errors during an audit, what suggestions and recommendations can you make based on the provisions of PSAK (Pernyataan Standar Akuntansi Keuangan or one of the accounting standards in Indonesia)? Which is the most appropriate PSAK to help you to give recommendations and briefly explain things related to the PSAK and why do you think the number of the PSAK is very appropriate as a guide to guide you in providing recommendations to Brekdak.

• Do you consider that the change of accounting policies that have been used for a long time is an inappropriate action to be implemented in the company? Explain your reasons and what the best way is if the policy (estimation, method, etc.) change does not have the potential to harm the company and other users of the report.

Answer rating: 100% (QA)

Answer Explanation 1 Step 1 i Accountants should be consistent in applying policies and procedures to similar situations according to the idea of cons... View the full answer