Case Notes - SAK

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od 0123 po dass bie Bluogely MINI-EXERCISES achroval, Ybolin0391 31 25onsisd LO 5-1 hude chant desa y Torinos Lamotni s slavi M5-1 Matching Circumstances to the Fraud Triangle Match each of the following circumstances to the corresponding element of the fraud triangle by entering the appropriate letter in the space provided. 35r2 93m aleonoqu 1. Employee has significant personal debt. 2. One employee receives and deposits customer checks. 290 Grave 3. CFO feels she is underpaid relative to other financial officers. 4. Manager approval is not required for expense reports. connect o W S A. Incentive B. Opportunity C. Rationalization

Case 5: FEEL NA FEEL, INC. In the audit process, the following data were obtained from the books of Feel na Feel, Inc., which uses a voucher system. All invoices are subject to terms 2/10, n/30, and are entered net with the discount entered in Purchase Discounts column of the voucher register. The accountant in charge of the books went on leave to attend to his family based in New Jersey. A fresh accountancy graduate has been assigned to record the transactions. At year-end, the substitute accountant finds that the unpaid vouchers do not agree with the Vouchers Payable control account. You are called to adjust the matter. A schedule of unpaid vouchers as of December 31, 20x1, all of which are net of discount, is presented to you. Voucher No. Date Nov. 27 896 909 918 952 955 968 982 Supplier Balentong Traders Shala Company Mukasim Dealers Boom Panes, Inc. Edi Wow Company Neknek Company Bebot, Inc. Amount P78,400 19,600 44,100 17,150 22,050 80,850 78,400 P340,550 Dec. 2 11 20 21 22 31…

According to the 2020 Reports to the Nations published by the Association of Certified Fraud Examiners, approximately, what percentage of Occupational Fraud and Abuse cases are discovered through tips?   A. 41   B. 43   C. 45   D. 46

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Answer the following from Chapter 7 of the textbook (write a one page response for each question):  Discussion Question 37:  Explain why Benford's Law is useful to auditors in the detection of fraud.

f Officer Ellis receives a tip from a reliable source that Jaidyn is dealing drugs out of her apartment. Officer Ellis requests a search warrant. The warrant will O a. be granted because police officers are granted search warrants upon request. O b. be granted when Officer Ellis explains the police received a reliable tip that Jaidyn was involved in criminal activity and that evidence of that activity might be found in her apartment. O c. not be granted because search warrants may not be issued on a received tip only. O d. not be granted because search warrants do not cover living quarters such as apartments and houses due to the high degree of privacy afforded such dwellings.

An external auditor of Roses Corporation sent out positive confirmation requests to 1,000 customers. Population size is 2,400 accounts, with a total recorded value of P400,000. Recorded value of samples selected is P159,960 and audited value of samples is P151,360. What is the estimated population audited value using ratio estimation? A. 400,000 B. 422,728 C. 378,480

You are auditing the financial statements of Blue Pty Ltd, a whitegoods wholesaler. You ask the audit junior to assist you to test whether or not purchases of equipment are fairly stated. You tell him that you will use dollar unit sampling.   Your assistant provides you with the information in the table below.   Number of purchases   6,000   Amount of purchases   $6,000,000   Sample size   60   Dollar value of sample   $600,000   Materiality allocated   $60,000   Error found in the sample   $600   REQUIRED: Draw a conclusion, on the basis of the information provided, as towhether or not purchases are fairly stated. Explain  your answer and show all calculations.

An external auditor of Roses Corporation sent out positive confirmation requests to 1,000 customers. Population size is 2,400 accounts, with a total recorded value of P400,000. Recorded value of samples selected is P159,960 and audited value of samples is P151,360. What is the estimated population audited value using ratio estimation? A. 400,000 B. 422,728 C. 378,480   Using the data provided in Roses Corporation, what is the projected misstatement using MPU estimation?A. 151,360 B. 20,640 C. 8,600

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nancy Howe, your staff assistant on the April 30, 20X2, audit of Wilcox Company, was transferred to another audit engagement before she could complete the audit of unrecorded accounts payable. Her working paper, which you have reviewed and are satisfied is complete, appears below. Wilcox Company M-1-1 Unrecorded Accounts Payable April 30, 20X2 Invoice Date Vendor and Description Amount Hill & Harper—unpaid legal fees at April 30, X2 (see lawyer’s letter at M-4) $ 1,000y April 1,X2 Drew Insurance Agency—unpaid premium at year-end on fire insurance for period April 1, X2- March 31, X3 (see insurance broker letter at J-1-1). Payment made on May 7, 20X2. 1,800y April 30,X2 Mays and Sage, Stockbrokers—advice for 100 shares of Madison Limited common stock (settlement date May 7, X2) 2,125y Lane Company—shipment received April 30, X2 per receiver number 3361 and included in April 30, X2, physical inventory; invoice not yet received (amount is per purchase order) 5,863y $ 10,788 y-Examined…

On 1st May, 2024 you are engaged to audit the financial statement of Giant Pharmacy for the period ending 30th December 2023. The Pharmacy is located at Mgeni Nani at the outskirts of Mtoni Kijichi in Dar es Salaam City. Materiality is judged to be TZS. 200,000/=. During the audit you found that all tests produced clean results. As a matter of procedures you drafted an audit report with an unmodified opinion to be signed by the engagement partner. The audit partner reviewed your file in October, 2024 and concluded that your audit complied with all requirements of the international standards on auditing and that; sufficient appropriate audit evidence was in the file to support a clean audit opinion. Subsequently, an audit report with an unmodified opinion was issued on 1st November, 2024. On 18th January 2025, you receive a letter from Dr. Fatma Shemweta, the Executive Director of the pharmacy informing you that their cashier who has just absconded has been arrested in Kigoma with TZS.…

3:21 ◄ Search For the following independent situations, assume that you are the audit partner on the engagement: 1. In reviewing of subsequent events, you learned of heavy damage to the client's warehouse due to a fire occurred after year-end. The loss will partly be reimbursed by insurance. The newspaper described the event in detail. The client made adjustment to related inventories and buildings to reflect the loss. 2. All facts are the same as situation 1, but the client did not make adjustment to year end figure of inventory. 4G 3. During the course of examination on your audit client, you suspect that a material amount of assets has been misappropriated through fraud. Management refuses to allow you to investigate further to confirm the suspicions. 4. The client's financing arrangements expired and the amount outstanding was past due. The client cannot renegotiate or obtain refinancing and is considering filing bankruptcy. Financial statements were prepared using the going…