ChapterIV FindingsandDiscussions 4.1Findings 4.1.1DatatakenfromPWCstandardoperatingprocedure Thereare7stepsfortheaudititself,firstthebasicstatutoryauditofthefinancial statementssuchasthepremiumsandlossespaid. 1.PlanningandRiskassessment Thisinvolvestheauditortofamiliarizewiththeclient’sbusinessaswellas identifyingtherisksinvolvedintheclient’sindustry.Theywillthenset materialityandplantheaudititself. 2.InternalControlEvaluation ThisinvolvesPWCunderstandingtheirclient’sinternalcontrolenvironment andactivitiesaswellasevaluatingtheirdeficienciesandunderstandthe effectivenessoftheirinternalaudit. 3.SubstantiveProcedures Thisinvolvesthemconductingdetailedtestingofthetransactionsand balancing.Inthisprocesstherewillbevouching,tracingandconfirmations. Auditorswillalsoanalyzethefinancialinformationthroughareasonable relationshipwiththedata.Theywillalsoassesswhetherthetransactionsare recordedintheproperaccountingperiod. 4.AuditEvidence Inthissteptheauditorswillcollectappropriateevidencetosupporttheaudit. Theywillthenrecordtheauditproceduresandreachaconclusion. 5.ReviewandSupervision Inthisstepauditorswillensuretheworkofallteammembersamongsttheir analysts,reviewerswilloverlooktheworkofanalyststomaintainquality controlandensuretheadherencetoPWC’sauditmethodandstandards 6.CompletionandReporting Inthisstepareviewofthefinancialstatementswillneedtobedonethrough thereportingframeworkwhichisusedandconsidertheeventsafterthe balancesheetdatebutbeforetheissuedateofthefinancialstatements.They willalsostartissuingtheauditreportalongwiththeopinion. 7.CommunicationwithManagementandThoseChargedwithGovernance Inthissteptheywillcommunicatethefindingswithmanagement,discussthe findingsandstrategizerecommendationstothecommitteeandthoseincharge withgovernance. ThestandarditselfinauditisthroughtheuseofseveralPSAKwhicharelisted below PSAK1:PresentationofFinancialStatements PSAK1establishestheframeworkforpresentinggeneral-purposefinancial statements,ensuringtheycanbecomparedwithpreviousperiodsandother entities.Thisstandarddetailstheoverallrequirements,structureguidelines, andminimumcontentforfinancialstatements,ensuringtheyreflectatrueand fairviewofanentity'sfinancialposition,performance,andcashflows. PSAK2:StatementsofCashFlows PSAK2specifieshowtopresentinformationaboutchangesincashandcash equivalentsthroughthestatementofcashflows.Itclassifiescashflowsinto operating,investing,andfinancingactivities.Thisstandardaidsusersin evaluatinganentity’sabilitytogeneratecashanditscashflowneeds, providingclarityonchangesinthecashpositionovertime. PSAK15:InvestmentsinAssociatesandJointVentures PSAK15providesguidelinesonaccountingforinvestmentsinassociatesand jointventures.Anassociateisanentityoverwhichtheinvestorhassignificant influence,whileajointventureinvolvesjointcontrolovernetassets.The standardmandatestheuseoftheequitymethodforaccountingthese investments,unlessclassifiedasheldforsale. PSAK22:BusinessCombinations PSAK22addressestheaccountingforacquisitionsandbusiness combinations.Itrequirestheacquirertorecognizeacquiredassets,assumed liabilities,anynon-controllinginterest,andgoodwillorgainfromabargain purchaseattheacquisitiondate.Thisstandardenhancestherelevance, reliability,andcomparabilityofinformationonbusinesscombinationsin financialstatements. PSAK25:AccountingPolicies,ChangesinAccountingEstimates,and Errors PSAK25outlinestheprocessforselectingandapplyingaccountingpolicies, recognizinganddisclosingchangesinpolicies,estimates,andcorrectionsof errors.Thisensuresfinancialstatementsareconsistentandcomparableacross periods,providinguserswithreliablefinancialinformation. PSAK48:ImpairmentofAssets PSAK48detailsthestepsanentitymusttaketoensureitsassetsarerecorded atnomorethantheirrecoverableamount.Thisinvolvesconducting impairmenttestsandrecognizinganimpairmentlossifanasset’scarrying amountexceedsitsrecoverableamount.Thestandardensuresassetsarenot overstatedinfinancialstatementsandthatimpairmentlossesareproperly recognizedanddisclosed. PSAK55:FinancialInstruments:RecognitionandMeasurement PSAK55coverstherecognition,measurement,presentation,anddisclosureof financialinstruments.Itrequiresentitiestorecognizefinancialassetsand liabilitiesontheirbalancesheetsuponbecomingapartytotheinstrument’s contractualprovisions.Itprovidesguidanceonmeasuringfinancial instrumentsatamortizedcostorfairvalueandoutlinesderecognition, impairment,andhedgeaccountingcriteria. PSAK60:FinancialInstruments:Disclosures PSAK60mandatesthedisclosurerequirementsforfinancialinstruments, includingtheirsignificancetoanentity’sfinancialpositionandperformance, andthenatureandextentofrisksfromtheseinstruments.Thisstandardaims toprovideuserswithsufficientinformationtoevaluatetheimportanceof financialinstrumentsandassociatedrisks. ThesePSAKstandardsformthecoreoffinancialreportinginIndonesia, ensuringthatfinancialstatementsareuseful,relevant,andcomparablefor investors,regulators,andotherstakeholders. 4.1.2DatatakenfromAksesmu Fromtheimageabovewecanunderstandthatitoutlinesaworkflowprocess involvingmultipleroles:MRO(MemberRelationOfficer),OBA(Outlet Binaan/menteeAksesmu),COSP/ACOSP(Chief/AssistantChiefofStockPoint),SP Crew(StockPointCrew),andthecrewwhichcarryouttheDO(DeliveryOrder). Here’sthesummaryofthestepsdepicted: 1.MROcallsorpaystheOBAavisitontime. 2.MROdistributesdatatomaximizesales,muchasinpromotions. 3.OrdersareplacedbyOBAviaWhatsApporanapp. 4.OBAdoesnotneedtowaitfortheMROcallorvisittoplaceanorder. 5.MROhelpswithorderingthroughtheAMSapp,omittingoptionalOBA. 6.Orderform/SPBintheAMSappischeckedbyCOSP/ACOSP.Theyletthe SPCrewknowtogetreadytheOBAorder. 7.TheorderispreparedbytheSPCrewusingtheAMSapp's(NewOrder Menu).Withsuitablematerials,SPCrewpackstheorder. 8.ThepreparedgoodsarehandedovertoCOSP/ACOSPbythem. 9.COSP/ACOSPcheckstheOBAorderinthePOSsoftwarewiththeorder preparationdonebytheSPCrew. 10.ShouldtheSPBbeasordered,theyhandlethetransaction. 11.Threetimesprintthetransactionreceipt. 12.Theysupervisethedeliveryprocessasitistobecarriedout. Thesecondimagecontinuestheworkflowfromthepreviousone,detailingthe deliveryandpaymentprocessescarriedoutbyadistributionservice.Here'sthe summary: 1.Theitemsandtransactionreceiptsarereceivedbythedistributionservice fromCOSP/ACOSP(Chief/AssistantChiefofStockPoint). 2.Afterthis,theproductsareputintothecarfordelivery. 3.DeliveriesofthemerchandisearemadetoOutletBinaan/MenteeAksesmu. 4.Theoriginalreceiptisobtainedtogetherwithdeliveryconfirmationfromthe OBA(OutletBinaan/menteeAksesmu). 5.ShouldthepaymentbeCOD(CashonDelivery),thedistributionservicewill pickupthemoneyfromtheOBA(OutletBinaan/menteeAksesmu). Note:COSP/ACOSP(Chief/AssistantChiefofStockPoint)shouldworkwith theFinanceDepartmenttoguaranteepaymentisreceivedbeforetheproducts areturnedoverifCODpaymentisactuallymadeviabanktransfer. 6.ThedistributionserviceusestheapptocompleteProofofDelivery(POD). 7.TheOBApaymentisturnedovertoCOSP/ACOSP(ifCOD)alongwitha receipt. 8.IfCOD,COSP/ACOSPtotalsthereceivedmoney. 9.Theymatchtheamountofthetransactiononthereceipttothecash. 10.Shouldthesumbeaccurate,theysignthereceipt. 11.Thedistributioncompanygetsthereceipttoprocessintheirapp. 12.AQRcodefromthedistributionappisdisplayedbyCOSP/ACOSP,which mostlikelyvalidatesthetransaction. 13.puttingtemporarycashintothestoresafefromthedeliveryservice. 14.closingallOBAordersandthestore'sbusinesshoursaccordingto STL/SOP/OP/002. ThisthirdimagedetailsaprocessforthedeliveryofgoodsbytheSPCrew(Stockand PackingCrew,specificallyDeliveryOperations),alongwiththeassociatedfinancial transactions,andispartofalargerworkflowinvolvingmultipleroles.Here’sa summaryoftheprocess: 1.Twocopiesofthetransactionreceiptsandtheitemsarereceivedbyand verifiedbytheSPCrewfromCOSP/ACOSP. 2.ThenumberofproductsrequestedbytheOBAdetermineshowmanytwo-or three-wheelboxmotorsareusedtoloadthegoods. 3.DeliveringtheitemstotheOBAistheSPCrew. 4.TheitemsareturnedovertotheOBAbytheSPCrewtogetherwiththe originaltransactionreceipt.