Key Audit Matters (continued) c) Impairment assessment of the carrying amount of goodwill (continued) Audit response Our audit procedures, with the involvement of component auditors, included the following: (i) compared cash flow projections against recent performance and assessed the reasonableness of assumptions used in the projections to available sources of data, where applicable; (ii) evaluated the reasonableness of projected growth rates and operating profit margins to historical results as well as market and industry data; (iii) evaluated the reasonableness of the pre-tax discount rate by comparing to market data and relevant risk factors; and (iv) performed sensitivity analysis to stress test the key assumptions used in the impairment assessment. We have determined that there are no key audit matters to be communicated in our auditors' report on the audit of the separate financial statements of the Company. Information Other than the Financial Statements and Auditors’ Report Thereon The Directors of the Company are responsible for the other information. The other information comprises the information included in the annual report, but does not include the financial statements of the Group and of the Company and our auditors’ report thereon. Our opinion on the financial statements of the Group and of the Company does not cover the other information and we do not express any form of assurance or conclusion thereon. In connection with our audit of the financial statements of the Group and of the Company, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements of the Group and of the Company or our knowledge obtained in the audit or otherwise appears to be materially misstated. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. Responsibilities of the Directors for the Financial Statements The Directors of the Company are responsible for the preparation of financial statements of the Group and of the Company that give a true and fair view in accordance with MFRSs, IFRSs, and the requirements of the Companies Act 2016 in Malaysia. The Directors are also responsible for such internal control as the Directors determine is necessary to enable the preparation of financial statements of the Group and of the Company that are free from material misstatement, whether due to fraud or error. In preparing the financial statements of the Group and of the Company, the Directors are responsible for assessing the ability of the Group and of the Company to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Directors either intend to liquidate the Group or the Company or to cease operations, or have no realistic alternative but to do so. INDEPENDENT AUDITORS’ REPORT 71 P R G H O L D I N G S B E R H A D A N N U A L R E P O R T 2 0 2 1 To the Members of PRG Holdings Berhad (Incorporated in Malaysia) (cont’d)
RkJQdWJsaXNoZXIy NDgzMzc=