Financial audit

26 November 2013 The Grizzly Bear Lodge Mini Case Owning and operating a lodge can be a lot of work, but rewarding at the same time. Customers come to a lodge to relax and get away from their daily routine. When staying the night away from home, it is important to the customer that the staff at the lodge makes their stay as comfortable as possible. In this case The Grizzly Bear Lodge will be examined. It will look at the service they provide in addition to their expansion opportunities.

firm, locate in Canton, China, which is called Yuan sheng ltd. The scope of business is auditing accounts and creating an annual audit report for the other corporate clients. The company was created by two CICPA (The Chinese Institute of Certified Public Accountants) - Mr. Zheng and Mr. Duan with 100 thousand Yuan registered capital in 2007. After the strong hit by financial crisis in 2008, Mr. Huang, a new partner, who is an ACCA (association of Charted Certified accountants), joined this company.

In the aftermath of corporate scandals and the passage of the Sarbanes-Oxley Act of 2002 (SOX), the audit committee is vested with greater authority to oversee fi nancial reporting and the appropriation of assets. As a result, the audit committee is responsible for adequate supervision and reporting and for responding to: • fraud in a fi nancial statement audit; • actual, perceived or potential confl icts of interest; • anonymous tips and complaints; and • through interaction with general

economic value creation to evaluate the financial health of that firm to see if they would be a risky client or not. This screening process of potential new clients will also include using balance scorecard questions to examine how that company is viewed by customers and shareholders, their core competencies, and how they create value. The answers to all these questions will not only determine if PwC should audit that client, but it will help locate areas in the financial statements that pose risks of material

impaired if: During the period of the professional engagement a covered member was committed to acquire any direct or material indirect financial interest in the client.” (aicpa.org 101-1). In Goodbread’s case this refers to the fact that he had shares of stock (direct financial interest) in his possession when he was the audit engagement partner who oversaw the audit of Koger Properties, Inc. Under the Generally Accepted Auditing Standards (GAAS) there are three sections, General Standards, Standards

Joe Kang is on the concluding stages of an audit on Frost Systems and keeping his client Kate Boller happy is high priority since it would be beneficial for his audit firm. Kang met with Kate Boller the CFO to discuss inventory and told her that a write-down of twenty percent needed to be made because the value of the inventory was twenty percent less than the original amount recorded. This write-down would reduce earnings for the client of $2 million and would reflect a loss for the year. Boller

Case 15.3 Free Enterprise Fund v. Public Company is a tricky one. It's a case that had a lot of people join and weigh in on as the case had a lot of gray areas. The main sticking point of the challenge pertained to the Board members of the PCAOB or Public Company Accounting Oversight Board which are part of the Sarbanes-Oxley ACT. This act of 2002 "has been called by many the most far-reaching U.S. securities legislation in years." This act means that now, all companies is required to file periodic

possible the litigation liabilities could cost as much as $1,514 million if the excess is reasonably probable. Research Question: What additional audit procedures, if any, should you suggest to the engagement partner in order to evaluate the appropriateness of the asbestos litigation liability as of December 31, 2009? Relevant Literature Statements on Audit Standards No. 12- AU section 337 Paragraph 6 & 7 “.06 An auditor ordinarily does not possess legal skills and, therefore, cannot make legal judgments

Unit 6 Assignment Eddie Mathis AC410-01, Unit 6 Professor Cochran 12–21. Nolan Manufacturing Company retains you on April 1 to perform an audit for the fiscal year ending June 30. During the month of May, you make extensive studies of internal control over inventories. All goods purchased pass through a receiving department under the direction of the chief purchasing agent. The duties of the receiving department are to unpack, count, and inspect the goods. The quantity

college lacking in the basic ability to compose and construct sentences and paragraphs. Accounting and auditing (especially as one moves up in an organization) obviously require skills other than the purely quantitative. Memos, reports, footnotes, audit and accounting guides, etc., all require accountants and auditors to be effective communicators of the written word. Indeed, the instructor may want to team up with a member of the school's English or communications department to enhance the effectiveness