User Account

All Pages

Explain what type of audit opinion would issue

Assignment Help Accounting Basics
Reference no: EM132730658

Fabrication Holdings Ltd. has been a client of KFP Partners for many years. You are an audit senior and have been assigned to the FH audit for the first time for the financial year end, December 31, 2016.

FH's financial statements for the year ended December 31, 2016, show land and buildings at a fair value of $20.8 million. As part of your subsequent event procedures, you become aware that FH sold the property in January 2017 when an independent third party made an unexpected offer of $24.5 million. The difference between the sale price and the amount stated in the financial statements (which has not been adjusted) is material. You have not yet signed the audit report.

Required:

Problem 1. Analyze the events surrounding the sale of FH's land and buildings. Is it a subsequent event? If so, which type? Provide support.

Problem 2. Based on your answer to requirement #1 - explain what type of audit opinion you would issue. Why?

Reference no: EM132730658

Questions Cloud

What likely went wrong with alpha corp software integration : Alpha Corp recently purchased a new piece, What most likely went wrong with Alpha Corp's software integration plan that allowed for this to happen?
Mark to assign this problem : Would it make sense for Mark to assign this problem to someone else now after Jack could not solve the problem the second time around?
Team member input strategies : Outline the strategies you will use to ensure team members have an input into the planning, decision-making and operational aspects of their work.
Identify the businesses that Campbell acquired and sold : Research the company's financial statements and relevant other sources and identify the businesses that Campbell acquired and sold within the last year
Explain what type of audit opinion would issue : Fabrication Holdings Ltd. has been a client of KFP Partners for many years. Explain what type of audit opinion you would issue. Why?
What is the significance of an outcome objective : Define what an outcome objective is. What is the significance of an outcome objective in the program planning process? Write an outcome objective focused.
What type of attack did the hacker use : At headquarters and convinces them to reset the password. The hacker now has access to this new password. What type of attack did the hacker use?
Implications of social and environmental factors on learning : What words come to mind? Select five-to-six words that relate to learning theories, implications of social and environmental factors on learning, interactions.
Implementing public health program : Using the South University Online Library or the Internet, research about the ten leading causes of death in the United States

Reviews

Write a Review

Accounting Basics Questions & Answers

  What amount claim as tax deduction for salary-wage expense

What amount can Jackson claim as a tax deduction for salary and wage expense? How much can Jackson deduct as tax expense?

  What is the amount of inventory

During its first month of business in May, On-a-roll, Inc., purchased 100 rolls of wallpaper at $14 per roll and sold 39 rolls for $42 per roll.

  Calculate the amount that Linden should record

On April 1, 2020, Linden sold a patent to Bell Company in exchange for a $300,000. Calculate the amount that Linden should record as note receivable

  On april 25 gregg repair service extended an offer of

on april 25 gregg repair service extended an offer of 115000 for land that had been priced for sale at 140000. on may 3

  What role a corporation audited financial statements play

What role does a corporation's audited financial statements play in determining its taxable income

  Compute Dows earnings per share

On February 28, 2018, Dow sold 51,000 common shares in keeping with its long-term share repurchase plan, Compute Dow's earnings per share

  What might have motivated gulag to change accounting system

Gulag Industries made a number of changes to its accounting system in 2012, which resulted in significant changes to the way the company costs its products.

  How much was net income for the period

Assume beginning assets of $60,000, ending assets of $80,000, If dividends were twice the capital stock issuances of $20,000, how much was net income for period

  Prepare the journal entries to record the impairment

Prepare the journal entries to record the impairment of these two securities at December 31, 2018. (Credit account titles are automatically indented).

  Determine the present value of the lease payments at june

determine the present value of the lease payments at june 30 2013 to the nearest 000 that georgia-atlantic uses to

  What is the financial advantage to the company

As an alternative, the calculators can be sold in their present condition for $40,000. What is the financial advantage (disadvantage) to the company

  Stan barker opened quik stop market on january

Stan Barker opened Quik Stop Market on January 1, 2013. The business is subject to FICA taxes.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd