Audit Report on Alice Queen Limited

Running head: AUDIT
Audit
Name of the Student:
Name of the University:
Authors Note:

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Table of Contents
Introduction:...............................................................................................................................2
Nature of the entity:...................................................................................................................2
Business operations:...............................................................................................................2
Investment and investment activities:....................................................................................3
Finance and the financing activities:......................................................................................4
Financial reporting practices:.................................................................................................5
Performance of Analytic procedures on the financial statement of the company:....................5
Ascertainment of the materiality of the accounts of the company:............................................7
Conclusion:..............................................................................................................................12
Reference..................................................................................................................................13

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Introduction:
In the present report, an effort has been made towards developing an understanding of
the financial performance and the financial positon of the company. The understanding
regarding the financial positon and the performance of the company will be developed with
the help of the financial statements that have been prepared and presented by the company.
After the analysis of the financial statements of the company is carried out, the relevance of
the various matters that have been stated out in it in respect of the materiality in the audit
procedure to be conducted by the auditor will be ascertained (Australia and Australia 2015).
The factors that were being considered for categorising a particular account as material will
be discussed in detail. The material relevance of around 10 accounts will be computed and
the materiality in respect of each FO the accounts will be determined objectively.
The company that has been selected for conducting the following presentation is Alice
Queen Limited. The company has its listing on the Australian Stock Exchange. The company
is engaged in the business of exploration and has the majority interest in two projects that are
located in Torres Strait Queensland and Menorah copper (Redfern et al. 2014).
Nature of the entity:
Business operations:
The company is engaged in the activities that are concerned with the exploration and the
extraction of the various minerals by the company. Some FO the most significant business
projects that are presently held by the company and on which the activities have commenced
are continuing are as follows:
a) Horn Island:
For the present reporting period, the Group commenced its phase 2 Exploration
program that is situated in the Horn Island. In pursuance of that, the entity embarked

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itself on an extensive geological mapping and sampling program that was conducted
in the Horn Island (Harish et al. 2015). The main purpose of these activates was to
determine the scope and the scale of the Horn Island Mineral Field and to
significantly firm up the target in respect of the further drilling that were to be
conducted by the company just outside the present area wherein the company is
conducting its exploration activities.
b) New South Wales(Looking Glass EL 8225):
In the month of October, the company announced that operations regarding the
drilling have been commenced in respect of its Looking Glass project on the Moong
Volcanic Belt of NSW (Gibberd et al. 2016). The drilling project of the company
involves the drilling of two deep diamond core holes that are being respectively
directed towards two different magnetic anomalies.
Investment and investment activities:
The constituents of the investing activities are as follows:
a) Payments that are being made by the company in respect of the exploration evaluation
expenditure: this item represents the amount that is paid by the company in respect of
the various exploration that are being conducted by the company these are considered
to be investing activities because the company has to incur all these for the purpose of
generation of revenue in the future (Campbell et al. 2015).
b) Property, plant and equipment:
This represents that amount that the company has to incur for the purpose of purchase
of property plant and equipment that are going to be used by the company for carrying
out its everyday activities.
c) Payments for the security deposits: