Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
John Clinton, owner of Clinton Company, applied for a bank loan and was informed by the banker that audited financial statements of the business h ad to be submitted before the bank could consider the loan application. Clinton then retained Arthur Jones, CPA, to perform an audit. Clinton informed Jones that audited financial statements were required by the bank and that the audit must be completed within three weeks. Clinton also promised to pay Jones a fixed fee plus a bonus if the bank approved the loan. Jones agreed and accepted the engagement.
The first step taken by Jones was to hire two accounting students to conduct the audit. He spend several hours telling them exactly what to do. Jones told the students not to spend time reviewing controls but instead to concentrate on proving the mathematical accuracy of the ledger accounts and summarizing the data in the accounting records that support Clinton Company's financial statements. The students followed Jones's instructions and after two weeks gave Jones the financial statements, which did not include any notes. Jones reviewed the statements and prepared an unqualified audit report. The report, however, did not refer to generally accepted accounting principles.
Statndards of reporting #4:
The report on an engagement to evaluate subject matter that has been prepared based on agreed-upom criteria or an assertion related thereto, or on and engagement to apply agreed-upon procedures, should contain a statement restricting its use to the parties who have agreed upon such criteria or procedures.Actions by Jones Resulting in Failure to Comply with Generally Accepted Auditing Standards based on the above paragraph.
Prepare a segmented income statement in the contribution format for last month,showing both "amount and percent" columns for the division as a whole and for each product.
Assume Broadcourt Electronics purchased the entire issue in a private placement of the bonds. Using the data in requirement 2, prepare the journal entry to record the purchase by Broadcourt.
calculate apples weighted average cost of capital. show the components of cost of debt capital and cost of equity
What are the major classifications of inventory? Why would someone choose to use a perpetual over a period inventory system, or vice versa?
suppose that a nursing home has two categories of payers. medicaid pays 60 per day and private-pay patients pay the
the partnership of marks norris smith and savannah has now operated for several years.nbspnbspnbsplast year marks and
aunt darla has agreed to deposit a lump sum into an account that pays 12 interest compounded annually in order to pay
What were the limitations of the audit proceedures regarding management assertion of existence in the zzz best case?
steve and elaine lostbucks have come to you for tax advice concerning the purchase of a condominium in faulty towers in
casual comfort textiles corporation began january with a budget for 30000 hours of production in the weaving
explain how resource-based competitive advantage drives globalization strategies for fortune 500
Terrys Pest Control Company for July - Prepare a bank reconciliation
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd