Auditing and Ethics in Australia - Metcash Limited

AUDITING AND ETHICS IN
AUSTRALIA
METCASH LIMITED
MAY 8, 2019
AUSTRALIA
Student Name

Table of Contents
Background................................................................................................................ 2
Discussion and Analysis............................................................................................. 3
Introduction to the company................................................................................... 3
Section 1: Materiality – importance and calculation................................................3
Section 2: Analytical Review through ratios, Management Assertions and Audit
procedures.............................................................................................................. 4
Section 3: Analysis of Cash flow and Audit report...................................................5
Conclusion............................................................................................................... 6
References................................................................................................................. 7

Background
The financial analysis of one of the companies in Australia named Metcash Limited
has been done below. The report includes the description of what is materiality and
the estimated materiality level to be considered by auditors. Significant
observations are also pointed out from the notes and disclosures made by the
company. The preliminary analytical review was also done for the company for the
past 4 years through ratio analysis and significant observation were pointed out. On
the basis of the same, the management assertion as well as the relevant audit
procedures to check upon the same was also pointed out. Lastly the cash flow
statement of the company was studied to find the going concern assumption and
the audit report was also analyzed to check on the opinion of the auditor as well as
what are the issues that have been highlighted in the audit report.