Required: (a) List out the substantive procedures you should perform on the furniture 8: fixtures 8: office equipment . (10 marks} (b) List out the audit work you should perform on the Vessels for the existence assertion and rights and obligation assertion . [3 marks) (c) You have just completed the analytical procedures. (i) Excluding furniture 8: fixtures 81 office equipment, identify any issues with the PPE schedule . [4 marks) [ii] Explain horn:r the issues can be resolved . (3 marks) (HKIAAT PBE Paper III Auditing and Information Systems June 2010 Q3) Question 41 The firm of VC 8:: Co. in which you are employed is the external auditor of Company A which is a company that operates a training centre providing IT engineers courses 8:: photography courses. The company leased a flat in a commercial building located in Mongkok under an operating lease. The training centre promotes their IT engineers courses by providing powerful notebooks for students to use in class. At the same time, photographic equipment is provided to students to use when attending the classes of the photography courses. Recently, fewer and fewer students enroll on the photography courses, the directors consider not to offer those courses in the coming future. The company adopts the revaluation model for all the equipment . Required: (a) State and explain the assertions for the auditing of the account balances, additions and disposals of notebooks and photographic equipment . (3 marks) (b) What is inherent risk? (2 marks) (c) What are the inherent risks for the auditing of the notebooks and photographic equipment in this audit? (4 marks) (d) What are the relevant assertions affected by these inherent risks? Explain. (6 marks) (HKIAAT PBE Paper III Auditing and Information System June 2011 Q2)