Dawson Co’s computerised wages program is backed up daily, however for a period of 3 months the wages records and the back-ups have been corrupted, and therefore cannot be accessed. Wages and salaries for these 3 months are $32m. Profit before tax is $200m. Briefly give your views on this situations and state what type of auditor’s report should be issued and explain your choice. You should not reproduce the entire audit report. Only mention appropriate extracts which are relevant.
Dawson Co’s computerised wages program is backed up daily, however for a period of 3 months the wages records and the back-ups have been corrupted, and therefore cannot be accessed. Wages and salaries for these 3 months are $32m. Profit before tax is $200m. Briefly give your views on this situations and state what type of auditor’s report should be issued and explain your choice. You should not reproduce the entire audit report. Only mention appropriate extracts which are relevant.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Dawson Co’s computerised wages program is backed up daily, however for a period of 3 months the wages records and the back-ups have been corrupted, and therefore cannot be accessed. Wages and salaries for these 3 months are $32m. Profit before tax is $200m.
Briefly give your views on this situations and state what type of auditor’s report should be issued and explain your choice. You should not reproduce the entire audit report. Only mention appropriate extracts which are relevant.
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