Audit Report Deficiencies: Accounting Change and Uncertainty. The following auditors’ report was drafted by Quinn Moore, a staff auditor with Tyler & Tyler, CPAs, at thecompletion of the audit of the financial statements of Park Publishing Company for theyear ended September 30, 2017. The engagement partner reviewed the audit documentation and properly decided to issue an unmodified opinion. In drafting the report, Mooreconsidered the following:∙ During fiscal year 2017, Park changed its depreciation method. The engagement partner concurred with this change in accounting principles and its justification, and Mooreincluded an emphasis-of-matter paragraph in the report.∙ The 2017 financial statements are affected by an uncertainty concerning a lawsuit, theoutcome of which cannot presently be estimated. Moore included an emphasis-of-matterparagraph in the report to disclose this uncertainty.∙ The financial statements for the year ended September 30, 2016, are to be presented forcomparative purposes. Tyler & Tyler previously audited these statements and expressedan unmodified opinion.
Audit Report Deficiencies: Accounting Change and Uncertainty. The following auditors’ report was drafted by Quinn Moore, a staff auditor with Tyler & Tyler, CPAs, at the
completion of the audit of the financial statements of Park Publishing Company for the
year ended September 30, 2017. The engagement partner reviewed the audit documentation and properly decided to issue an unmodified opinion. In drafting the report, Moore
considered the following:
∙ During fiscal year 2017, Park changed its
included an emphasis-of-matter paragraph in the report.
∙ The 2017 financial statements are affected by an uncertainty concerning a lawsuit, the
outcome of which cannot presently be estimated. Moore included an emphasis-of-matter
paragraph in the report to disclose this uncertainty.
∙ The financial statements for the year ended September 30, 2016, are to be presented for
comparative purposes. Tyler & Tyler previously audited these statements and expressed
an unmodified opinion.
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 2 images
