You are the auditor of Matatizo Company Limited. The company is listed in the Stock...
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You are the auditor of Matatizo Company Limited. The company is listed in the Stock exchange and is involved in importation and wholesaling of furniture. The company faces strong competition in the market and is incurring losses. The wind of competition is from local fundi whose prices are relatively cheaper. Balaa Ltd is a wholly owned subsidiary of Matatizo Ltd. Balaa is involved in the local production of furniture. Although initially profitable, Balaa has recorded an
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