(ii) Identify and explain the potential financial statement risks caused by the

(ii) Identify and explain the potential financial statement risks caused by the breach of planning regulations

discussed in the press cutting. (6 marks)

(ii) Several significant financial statement risks are indicated by the press cutting.Overstatement of property, plant and equipmentMedix Co has constructed a research laboratory which is likely to be impaired at the year end. The local authority hasthe p