Description
Perform Similar prior-period data analysis on two Accounts of a company that is
traded in the Saudi stock market.
To perform the analysis, follow the steps below:
1. Pick a company traded in the Saudi stock exchange (Ex :Malath Cooperative Insurance Co.)
2. Pick two account to analyze (Ex: Account receivable, Cash, Account
payable, Sales , cost of goods sold.) 4. Set level of materiality (Ex : change of 25% or higher )
5. Make a conclusion for each account (1. point )
o The auditor should pay more attention to the sales account. It decreased by 45%in
2017 and by 66% in 2018. Interestingly, the percentage of change dropped in
2019. However, the sales changes did not exceed our threshold limit of 25%,
which means the changes is within the acceptable range.
o The changes in the COGS was not significant. It was relatively the same during
the last three years.
6. Make a conclusion for Both Accounts (.5 point)
o The COGS remained relatively the same despite the slight increase in the sale.
The auditor must consider the cause of this inconsistency to ensure that no vicious
sales were recoded or that no costs were misstated
Formula:
(THE YEAR /THE BASE YEAR)*100 = CHANGE RELATIVE TO BASE YEAR)I want an analysis for the year 2017 ,2018,2019,2020
https://www.saudiexchange.sa/wps/portal/tadawul/ma…
