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Auditor's Opinion for an Investment Club

You have been asked to prepare a brief presentation on the nature and purpose of the auditors' opinion for your investment club. The club members would like your presentation to answer these questions: a. How is the "scope" of an audit determined? What role should the auditors' fee play in setting the scope? b. How can the a

Audit Evidence: Evidence and Reliability

During the course of an audit, the auditor examines a wide variety of documentation. Listed below are some forms of documentary evidence and the sources from which they are obtained. 1. Bank statement sent directly to the auditor by the bank. 2. Creditor monthly statement obtained from client's files. 3. Vouchers in client'

Leng Xiong is unable to reconcile the bank balance as of January 31

E7-6 Leng Xiong is unable to reconcile the bank balance as of January 31, Leng's reconciliation is shown here: Cash Balance per bank = $3,660.20 Add: NSF check = 370.00 Less Bank Service Charge = 25.00 Adjusted Bank Balance per bank = $4,005.20 Cash Balance per books =

Auditors Giving Value to Clients

1. Giving value to clients is absolutely essential to especially auditors. Your client, a public company in the jewelry business, is looking to you as their consultant, for suggestions to improve their profit. 2. Inventory Procedures Using Computer-Assisted Audit Tools and Techniques : In your discussion Explain the pro

Forecast accounts receivable

Accounts receivable are $45,000 and are directly proportional to total sales. The sales forecast for next year is $125,000, which represents a 5% growth over the current year. The forecast accounts receivable would be:

Acknowledging Revenue and Estimating Future Bad Debts

Acknowledging revenue and estimating future bad debts - please see attachment. Rationale It is important to understand how companies record revenue. The timing of the entry is important, and the rules related to the timing of revenue recognition must be followed to conform to GAAP. Also, it is important to understand how to

Perform a strategic audit of McDonald's Company

For the SLP project, we are going to perform a strategic audit of McDonald's Company. Assignment Please write a 2 page report, answering the following questions: Identify Mission/Vision/Major Goals Identify Stakeholders Analyze whether stakeholders' goals are part of the company major goals

Perform a strategic audit of McDonald's Company

For the SLP project, we are going to perform a strategic audit of McDonald's Company. Assignment Please write a 2 page report about strategic choices that McDonalds has made. Business strategy Corporate strategies Functional Strategies Global Strategies Writing Style Please use a formal paper format, with

Elburn Company

Need help with solution. Journalize entries to record allowance for doubtful accounts. Please use attached Excel and follow the instructions. Exercise E9-2 Journalize entries to record allowance for doubtful accounts using to different bases. The ledger of Elburn Company at the end of the current year shows:

Problem 12.37 - Various Report Situations.

This file answers various report situations. Including such situations as: 1. What kind of opinion should the auditors write for each separate case? 2. What other modification(s) or addition(s) to the standard report is (are) required for each separate case?

Bank Reconciliation

The balance per the bank ststement on 10.31.06, was 18280. Outstanding checks were: n0.62 for 326.75, no.183 for 150.00, no. 284 for 253.25, no. 862 for 190.71, no. 863 for 226.80, and no. 864 for 165.28. Included with the statement was a credit memorandum of 300.00 indicating the collection of a note receivable for Stupendous C

Financial Cycle Audit Multiple Choice

***Getting ready for a final, please only sign out if confident about the answers that will be provided*** 5.Which one of the following financial ratios has a numerator and denominator whose amounts should change by approximately the percentage from year to year? a.quick ratio. b.current ratio. c.accounts payable t

Audit Questions

B. Explain why auditors translate audit assertions into specific audit objectives when developing an audit program. c. If you are auditing the existence and occurrence assertion, what specific audit objectives should be accomplished by developing an audit program? Explain the purpose of each audit objective. d. If you a

Audit approach - Overstated Sales and Accounts Receivable

Write the "audit approach" portion of the case, organized around these sections: Objective: Express the objective in terms of the facts supposedly asserted in financial records, accounts, and statements. Control: Write a brief explanation of desirable controls, missing controls, and especially the kinds of "deviations" that

Risk assessments and audit strategies

Risk assessments and audit strategies. See attached file for full problem description. The following risk factors were identified by various audit teams during the audit of their clients. 1. The client has a strong control environment and good controls over the existence of inventory. 2. The client is in an industry

Reluctance of bank to extend credit

Sidney Capstan attributed much of the business' success to its no-frills policy of competitive pricing and immediate cash payment. The business was basically a simple one--the firm imported cars at the beginning of each quarter and paid the manufacturer at the end of the quarter. The revenues from the sale of these cars covere

Cash: Audit Procedures and controls to identify errors

The following items were discovered during the audit of the Cash account. For each item identified: a. Indicate the audit procedure that most likely would have led to the discovery of the error. b. Identify one or two internal controls that would have prevented or detected the misstatement or irregularity. Audit Findings 1.

Allowance method for bad debts.

Milner Corp. uses the allowance method to account for uncollectibles. On October 31, it wrote off a $1,000 account of a customer, C. Schaub. On December 9, it receives a $200 payment from Schaub. 1. Prepare the journal entry or entries for October 31. 2. Prepare the journal entry or entries for December 9:

Locbox Collection System

Mesa Electronics, located in Phoenix, is attempting to determine if it should set up a lockbox collection system for its Northeastern customers. Currently the firm receives an average of 350 payments per working day (assume 250 working days per year) from that section of the country. These payments provide an average daily colle