Five months after issuing an unqualified audit opinionand an unqualified opinion on internal controls for the audit of the year ended December31, 2013, for a large publicly traded client, the client and the auditor become aware of amaterial misstatement in sales revenue for the year in question, which was the resultof a material weakness in internal controls. Is this a subsequent event or a subsequentdiscovery of facts? What are the auditor’s responsibilities related to the audit opinion andthe opinion on internal controls?

Q: During the course of the year 2 audit of Smithsone Company, the auditor discovered the following…

A: Lets understand the basics.Adjusting journal entry is required to make to record correct amount of…

Q: During the prior-year audits of McKimmon, Inc., a privatecompany, the auditor did tests of controls…

A: Auditing: Auditing is the process by which assertions made by management about financial…

Q: Which of the following statements would most likely appear in an auditor's engagement letter? a.

A: Audit report represents the report prepared by an auditor that shows the opinion of the auditor on…

Q: The main purpose of the auditor's consideration of internal control for a non-SEC client is to A.…

A: Audit of internal control is conducted by auditors to assess its efficiency and effectiveness and…

Q: You were first appointed auditor of the Pringles Corporation in 2007. You completed the audit for…

A: Question 1: b. P256,700 Question 2: a. Retained earnings overstated by P11,800 Question 3: d.…

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A: Introduction:- The American Institute of Certified Public Accountants (AICPA) has released guidance…

Q: Consider the following independent and material situations: (i) The client, with reasonable…

A: Audit Opinion Auditors are issue four types Audit opinion.  The details are given below Unmodified…

Q: During audit planning, an auditor obtained the following information:1. The company’s controller…

A: Audit Planning It is a major part of auditing both internal and external auditing. A good audit…

Q: PCAOB standards are used to conduct the audit for public companies. True False

A: Note: Since you have asked multiple question, we will solve the first question for you. If you want…

Q: Which of the following circumstances would most likely cause an auditor to suspectthat material…

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A:

Q: ou are the audit engagement partner and you noted the following during the review of the audit files…

A: Audit is the process of examining the financial statements of the company by an independent body.

Q: Ambrose is auditing the financial statements of Mays (dated December 31, 2017). The date of the…

A: According to the IFRS, Those events which have occurred after the balance sheet date but before the…

Q: The audit report date on a standard unmodified opinion audit report indicates A. the last day of the…

A: An unmodified opinion is the most favorable type of audit opinion that an auditor can issue. It…

Q: Please answer with reason for all why the option is correct and why the other options are incorrect…

A: Answer:-  Audit:- To ensure that all the departments of the entity are using a documented system of…

Q: Subsequent Events and Subsequently Discovered Facts. Michael Ewing is auditing the financial…

A: Requirement a:

Q: An auditor discovered the following matters while performing tests of controls 1.An invoice for…

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Q: 46. Adjusted retained earnings as of January 1, 2012

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A: solution interim audit                 An auditor may choose to perform the audit before the end of…

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A: The question is multiple choice question. Required  Choose the Correct Option.

Audit Procedures

Audit Procedures are methods and techniques performed by the auditor to determine the quality of financial information of clients, thereby expressing an opinion on true & fair view of financial statements and entity position. They are identified and applied at the planning stage of audit after determining audit objectives, scope, approach, and risk assessment.