Anderson, Olds and Watershed Certified Public Accountants Letter to the Audit Committee To: Apollo Shoes Audit Committee From: Date: Subject: The Audit of…. The following memo aims to outline the results of the audit of Apollo Shoes, give recommendations to improve the company’s operations, and provide justification for our qualified opinion. For their accounts receivable confirmation as of December 31, 2017, Mall-Warts stated that they had entered into involuntary bankruptcy on November 3, 2017. After having adjusted their balance due for shoes that were wrongly shipped to them in the amount of $5,765,081.85, Mall-Wart had a balance due of $14,784,144.03. Due to the unlikeliness that this amount is to be collected, we have proposed that this amount be written off in full to bad debt expense. However, Larry Lancaster has decided not to record this entry in hopes that Apollo Shoes will still be able to pay the amount in full. When ignoring the adjustment for the wrongful sales, in which Larry believes Mall-Wart will pay, Mall-Wart accounts for 40% of the company receivables. The fact that Mall-Wart has declared bankruptcy is too material to ignore, and we are unable to give an unqualified opinion. We disagree with Larry’s analysis of the situation, and therefore have given the 2016 financial statements a qualified opinion. There are a few other matters, unrelated to the qualified opinion, that we believe should be made aware to the audit committee. They are as
At Apollo Shoes, Inc., we like to briefly acknowledge achievement and then proceed to new challenges. This year was great only because it provided us with resources to expand operations and further technological progress. As we continue into this century of "more, faster, better," it is critical to continue this tradition because production, speed, and quality are critical elements for future success. We look forward to the challenge.
3. Send confirmations to all accounts over $X. Select a random sample of all remaining accounts for confirmation.
1. Remarks by Apollo Shoes Inc. CEO Larry Lancaster in regards to the 10% projected increase in sales for the 2011fiscal year. (“Well they better increase by that much or heads will roll.”) GA-3.1
Customers make purchasing decisions based on the information they have among products and the values of goods a company offers. For that reason, companies have to promote their products to increase products awareness. In order to achieve organizational goals, companies must understand the market’s needs to ensure the success of their businesses. Such information can be gained through research. The industry that will form the basis of this paper is Western Canadian Shoe Association. The three brands under study are Reebok, Adidas, and Nike.
There are several reasons why AGI should consider Mercury Athletic as an appropriate target for acquisition. First, acquiring Mercury could improve both companies financially. Acquiring Mercury would double AGI’s revenue. Although Mercury’s financial performance has been disappointing, they experienced top line growth of 20% in 2006. Unfortunately, their profitability has been disappointing due to price concessions to big box retailers and an unsuccessful women’s line. Mercury’s (and ultimately AGI’s) profitability could be improved by the synergies of the two companies merging. Synergies within supply chain, operations, research and development, and advertising should all improve Mercury’s EBITDA.
We designed the Apollo Shoes audit case to introduce students to the entire audit process, from planning the engagement to drafting the final report. Students are asked to assume the role of a veteran of two-to-three “busy” seasons, “in-charging” for the first time. Communication between the students and client personnel and other firm members takes the form of e-mail messages from the engagement partner (Arnold Anderson), the engagement manager (Darlene Wardlaw), an intern (Bradley
West Coast Fashions, Inc has decided to sell one of their segments, Mercury Athletic in the context of a broader reorganization. The head of the business development for Active Gear, Inc(AGI), John Liedtke, views this event as a good
While continuing to stress the significance of fit and comfort as there alternate qualities go on. The best pointe for ballet dancers is exclusively up to the dancer themselves and their own personal preference. If a dancer does not have pointe shoes that are comfortable to them then that will effect their performance in the long way. To further my research I personally survey the NBT company dancers while they practice in Gaynor Minden’s ' pointe shoe. The artists practiced in the shoes from October 7th to the 11th. I examined every dancer in order to decide whether they loved Minden 's model over the present organization 's Capezio model. I also gathered individual statements from the dancers about how they felt about Minden 's model. You can see my out come underneath in Figure 4.
Article 1-Seeking a Path Forward on Audit Quality Indicators – Audit Committees Play a Vital Role in Ensuring Audit Quality
sale of Nike’s high-margin products to high-end customers. Regardless of the low cost of the World Shoes, they
1. A decision to retain an in-house arm of agency Weiden & Kennedy by Nike exemplify the concept of organizational design by allowing Nike use the agency’s creative designers to focus solely on Nike work, giving them un-parallel access to executives, researchers and anyone else who might provide Nike advertisers with their next inspiration for marketing greatness before listening to any other organization. Having the agency in the building is having them at their disposal at anytime they need them and also the agency will have to consider them first incase of any new ad or good idea discovered by the agency or when Nike needs to salvage a problem with the help of the agency. Thus, the agency at their finger-tips serves great advantages
Air Jordan 1 Golf: Air Jordan Brand has officially revealed the Air Jordan 1 Golf Shoe, which would be released in a classic “Chicago” color-way as well as a metallic silver and white color option. This limited design, features a few notable changes to the original Jordan 1 basketball shoe. It includes extra padding providing additional support and comfort around the ankle, with a Jump man logo on the tongue, a waterproof upper and a Nike free inspired out-sole with soft spikes.
New Balance was founded by William J. Riley in 1906 in the city of Boston. Riley started by making arch supports for customers who had to spend all day on their feet. Over time the building of arch supports led to the creation of his first running shoe in 1925. As part of a local running club, Riley capitalized on an opportunity to improve running shoes of the time and his designs became widely popular. His new running shoes became so popular that by the 1940’s that production spread from running to many other sports. Then the expansion of the manufacturing significantly increased as he realized a need to running shoes with more selection for wider feet, and
Report on the Case Study Nike This report has been produced to provide an insight into the consumer decision-making process, buyer behaviour factors that consumers of Nike are influenced by. The report also details recommendations based on the findings. 2.0 Summary = =
Nike’s management understands how important a relevant strategy is in the global environment, as Don Blair, Nike’s CFO, stated “...we are refocusing our efforts, increasing our investments in innovation, using our voice for stronger advocacy and looking at how we incubate new, scalable business models that enable us to thrive in a sustainable economy.”