Astor city audit standards

Assignment Help Auditing

Reference no: EM1354204

Astor City, a small city that is not required to have independent audit, voluntarily decided to have an audit of its financial records. Currently, the city generates $900,000 in revenues. Of the revenue generated, 10% is from state sources and 2% is from federal sources. Janice Murphy, a CPA who serves on the city council has orally agreed to conduct the audit for a small gratuitous fee. Murphy decided not to accept a full fee since in the last three years she has gotten away from doing audit work and has concentrated her time on tax preparation and small business consulting. Murphy conducts the audit and presents the city with the following audit report:

Required

a) At a minimum what audit standards apply to Astor City (GAAS, GAS or Single Audit Act)? Why?

b) Discuss any potential violations of the applicable audit standards.

Reference no: EM1354204

Questions Cloud

Major cultural conflicts and challenges : Identify their major cultural conflicts and challenges. Keep in mind that these are merely possibilities. We are using this exercise to brainstorm and work through ways that people may or may not interact and communicate.

Types of auditor opinions : Auditors cannot say that the books have been done 100% correctly because they cannot possibly look over every part of them. They instead give an opinion based on a sampling of the information

Determination of risky stock : Common stock A has an expected return of 10%, a standard deviation of future returns of 25%, and a beta of 1.25. Common stock B has an expected return of 12 percent, a standard deviation of future returns of 15 percent,

Show the groups influence behavior : Group structure - Groups influence behavior of their members and one of methods is group sanctioning. It consists of rewarding or punishing its members to enforce group standards.

Astor city audit standards : Astor City, a small city that is not required to have independent audit, voluntarily decided to have an audit of its financial records. Currently, the city generates $900,000 in revenues. Discuss any potential violations of the applicable audit sta..

What describe the distribution of national salary : What describe the distribution of national salary among labor and capital in a competitive, profit-maximizing economy with constant returns to scale.

Explaining multiple-level total : Whch of the following is an example of a multiple-level total? A total shown at the end of report for number of books in a library or Total shown every time the type of book changes (for example, reference, fiction, nonfiction).

Suppose the surface is frictionless : A bumper car with mass m1 = 113 kg is moving to the right with a velocity of v1 = 4 m/s. A second bumper car with mass m2 = 94 kg is moving to left with a velocity of v2 = -3.2 m/s.

Components of the product value chain : Choose a product of Altria's and describe the components of this product's value chain.

User Account

All Pages