Audit Introduction Letter

The auditor¡¦s responsibility is to the client and not the third parties the client plans to distribute the financial statements to. The auditor does however consider the third parties when completing the audit. There is no direct responsibility to the third parties.

2- Staffing and Training:-The internal audit team should be appropriately managed in terms of numbers, post, qualifications and experience, and should have regard to its responsibilities and objectives. The internal auditor should get properly training to fulfill all his responsibilities. The effectiveness of internal audit depends upon the

After thoroughly understanding the operation of the Apollo Shoes, we will be able to determine the frame under which “fraud” can occur. The second step consist of the testing the journal entries. In this we will select the transactions occurred in the financial reporting year and will check the same, for the reason of their occurrence and supporting documents of the same. If during the test any misstatement is identified, the management will be asked to rectify the same and appropriate adjustments are done.

The American Institute of Certified Public Accountants (AICPA) is a professional accounting organization whose members are certified public accountants (CPAs). The AICPA published the generally accepted auditing standards (GAAS). GAAS are those guidelines which auditors must follow while conducting an audit of a company's financial statements. Generally accepted auditing standards are divided into three main areas: general standards, fieldwork, and reporting.

1. An audit of a government, conducted in accordance with generally accepted auditing standards (GAAS), includes

Elder, A. A., Beasley, M., & Elder, R. J. (2014). Auditing and assurance services (15th ed.). Upper Saddle River, NJ: Pearson.

Assuming that the end result is an unqualified audit report, outline the primary responsibilities of the audit firm after it issues the report in question.

On behalf of Anderson, Olds, and Watershed Associates, I am writing to offer our auditing and assurance services to your firm in conjunction with your current audit staff. Anderson, Olds, and Watershed Associates (AOW) is a nationally renowned firm that offers some of the most complete audit and assurance services around. Our company offers three different types of audits that will benefit your company. AOW offers operational audits, compliance audits, and financial statement

Arens, A. A., Elder, R. J., & Beasley, M. S. (2013). Auditing and Assurance Services. Old Tappan, NJ: Pearson Education.

An external auditor performs an audit, done understanding with particular laws or rules, of the fiscal explanations of a company, administration entity, other legitimate entity, or organization, furthermore will be free of the substance constantly audited. Clients about these entities ' fiscal information, for example, such that investors, administration agencies, and the all public, depend on the outer evaluator on display an impartial What 's more autonomous review report card.

4. Discuss the scope and nature of an auditor’s responsibilities during a review of client’s quarterly financial statements.

This title consists of 9 sections that instruct in the behavior of auditing firms and establish guidelines for external auditor independence. It also sets restrictions for clients outside of auditing boundaries and requirements for audit partner rotation.

2. Auditors are required to consider evidence obtained and accumulated throughout the audit and make an overall evaluation as to whether substantial doubt exists with respect to the ability of the client

General Standard #3: The auditor must exercise due professional care in the performance of the audit and the preparation of the report (AICPA). They failed to act in a professional manner and to practice due care when they violated any of the standards.

Auditors having the appropriate competence and capabilities to perform the audit, and follow ethical requirements, and maintain professional skepticism throughout the audit.