Datasonic Group Berhad 68 Audit Committee Report d. Reviewed and discussed with the Management on the appropriateness of bases and relevant documentations as evidence in support of the recoverability and fair value of major assets. e. Reviewed and discussed with the Management on new developments in accounting standards that may have bearing on financial reporting and disclosures. Reasonable assurances on the implementation of applicable changes/new developments noted were also obtained from the Management, as applicable. f. Reviewed and discussed with the Management on the Annual Group Budgets for FY2021/2022 concerning the financial performance and the financial position as at 31 March 2022. The reviews performed also include related cash flow budgets, appropriateness of basis and assumptions applied and tracking of the budgets as well as conduct of proper budgetary controls exercised by the Management. 2. External Auditors a. In February 2022, reviewed and discussed the Audit Planning Memorandum of the External Auditors for the financial year ending 31 March 2022. This covers the engagement and reporting requirements, audit approach, areas of audit emphasis particularly in relation to the key audit matters, significant events during the year, group audit, reliance on internal audit, engagement team, reporting and deliverables, proposed audit fees, responsibilities of directors and auditors, independence of auditors and the new developments in accounting standards. b. In May 2022, reviewed and discussed the Audit Review Memorandum issued by the external auditors in relation to the completion of the annual year-end audit, covering on key audit findings, misstatements, observation on the internal controls as part of their auditing procedures, status of group audit, fees and the list of outstanding confirmations and information, amongst others. c. In May 2022, reviewed and discussed the draft Audited Financial Statements of the Company and of the Group for the financial year ended 31 March 2022 and the draft Annual Report 2022, which encompasses all relevant disclosure statements in line with MMLR before recommending of the same to the Board for approval. d. In accordance with the External Auditors Assessment Policy and paragraph 15.21 of MMLR, the Audit Committee had in May 2022 undertook an annual assessment on the performance of the external auditors focusing on issues of their suitability, objectivity and professional independence together with the Chief Financial Officer and the Management. The External Auditors Assessment Policy is available for reference on the Company’s website at www.datasonic.com.my. A questionnaire checklist was used to determine the minimum performance assessment procedures on the quality and effectiveness of the external audit functions for purposes of reaching the decision as to whether to recommend to the Board on the question of their reappointment. The assessment procedures also considered the information disclosed by the external auditors in their Annual Transparency Reporting, particularly in areas related to their legal and governance structure, measures to uphold audit quality and manage risks, and measurement of audit quality indicators as emphasised in the announcement issued by the Securities Commission’s Audit Oversight Board (“AOB”) in April 2022. Input and feedback were also obtained from the Management who had close contact and involvement with the external auditors throughout the financial year to assess on the level of professionalism conducted and as shown by the external auditors in the undertaking of the annual audit.
RkJQdWJsaXNoZXIy NDgzMzc=