Reference no: EM131188920
The following are independent situations:
(i) Bob is an audit assistant currently undertaking university studies. While auditing the books of Club Casino, he comes across certain financial information that he believes will assist him in completing one of his university assignments. He copies the information and uses it in his assignment, carefully removing all reference to Club Casino in order to preserve the client’s confidentiality.
(ii) Wendy has been the engagement partner on the Ace Limited audit for a number of years. Some time ago, Ace’s long-standing company secretary retired and Ace took six months to find a replacement. At Ace’s request, Wendy performed company secretarial duties for this period of time.
(iii) Leo is the eldest son of the factory foreman of one of your firm’s major audit clients, Precision Machinery Limited. During vacation work, L is assigned to the audit of Precision Machinery. Leo’s work comprised testing the internal controls of the cash payments system.
(iv) Chan & Associates are auditors of Classic Reproductions Pty. Limited, a large furniture wholesaler currently experiencing financial difficulties. Classic Reproductions is a significant client of Chan & Associates and have not paid their audit fee for the past three years. The audit partner recently threatened to resign from the audit if the outstanding fees were not paid. To prevent this occurring, Classic Reproductions offered to supply Chan & Associates with new office furniture. The partner accepted this offer in full consideration of the outstanding fees, even though the furniture was only worth 50% of the balance. As a thankyou present, Classic Reproductions gave the partner a 25% shareholding in an unrelated listed company. At present these shares are worth $1,000. Chan & Associates do not act as auditors of this company.
Required:
a) Define actual and perceived independence, and explain the importance of each.
b) For each of the above independent situations list any professional standards and regulatory requirements breached and discuss possible alternative courses of action the auditor should have taken in order to properly discharge their professional responsibilities.
The depth and correctness of your analysis for each of the above will be the primary criteria for grade differentials in this assignment. Your analysis must be relevant to the cases above.
|
Demonstrate the importance of fat metabolism
: Demonstrate the importance of both carbohydrate and fat metabolism in the development of potential complications in type 2 diabetes by doing the following:
|
|
Difference between bit rate and baud rate
: Explain the following concepts that we learned in our computer class. Clarity of the answer is highly recommended. 1. What is the difference between bit rate and baud rate.? 2. What is the difference between routable and non- routable protocols? 3. W..
|
|
Summarize apple supplier responsibility information
: Identify the key ways that Apple's Progress Report has changed since last year. Examine the manner in which Apple's Supplier Code of Conduct helps the organization operate as a socially responsible organization.
|
|
What is beaconing
: 1. What is Beaconing? 2. What does the Mount protocol do? 3. What is NETBIOS and NETBEUI
|
|
Define actual and perceived independence
: Define actual and perceived independence, and explain the importance of each. For each of the above independent situations list any professional standards and regulatory requirements breached and discuss possible alternative courses of action the au..
|
|
How many planes would it take to consume production
: How many planes would it take to consume the entire annualworld production of 4.02 X 109 metric tons of crude oil?
|
|
The doctrine of the invisible church
: Briefly elucidate how this view helps to explain the differences in individual belief and practice evident within a single Christian denomination, congregation, or fellowship.
|
|
What were your controls independent and dependent variables
: What were your controls, independent variables and dependent variables? Also in your initial post list an example of an individual or group that has made a conclusion without using the scientific method.
|
|
Probability of losing adata packet
: A congested computer network has a 0.002 probability of losing adata packet and packet losses are independent events. A lost packetmust be resent. Round the answers to 4 significant digits.
|