Ryan Clark was reviewing the previous year's audited financial statements of a clothingmanufacturer. His manager explained that for a financial statement audit, the clothingcompany was the accountable party, its shareholders were the users, and the subject matterwas the financial statements. What kind of audit engagement was his manager describing?a) consulting engagementb) assurance engagementc) review engagementd) compliance engagement

His manager was describing assurance engagement where the user of the financial statements receives…

Answered: Ryan Clark was reviewing the previous…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Hi, I have an assignment and I was asked to the audit Assume you are the senior accountant on an audit engagement of a fictitious business, Pine Street Company (PSC). Assume the instructor is the engagement partner. You are to prepare a audit program for PSC. The firm manufactures and sells bicycles. The audit program must be in one of the following areas of the business: accounts receivable and revenues; inventories and costs of goods sold; accounts payable; payroll; or property, plant and equipment. Week 2 - Identify the components/sections of a cash audit program for PSC. Date General Journal Debit Credit Merchandise Inventory : $5,900 Account Payable Johns $5,900 Merchandise Inventory $330 Cash $330 Account Payable Johns $900 Merchandise Inventory $900 Account Payable Johns $5,000 Cash $4,900 Merchandise Inventory $100 Merchandise Inventory $ 12,250 Account Payable Johns $12,250 Account Payable Johns $3,250 Merchandise Inventory $3,250 Account…
Steve Ankenbrandt, president of Beeb Corporation, has been discussing the company’s internal operations with the presidents of several other multidivision companies. Ankenbrandt discovered that most of them have an internal audit staff. The activities of the staffs at other companies include financial audits, operational audits, and sometimes compliance audits. Required: Describe the meaning of the following terms as they relate to the internal auditing function: a. Financial auditing. b. Operational auditing. c. Compliance auditing.
An organization’s board of directors has recently experienced a substantial change in leadership. The new members of the board have demanded an external audit for internal control and information assurance. What should the president or leader of the organization be prepared to provide to ensure the board is comfortable with the audit results?
Management should address written representations about a firm's annual audit to the: 1. Shareholders 2. Auditor 3. Board of directors. 4. Firm's attorneys. O 1 O 2 O 3 4.
answer must be in table format or i will give down vote
How can an auditor use the following topic in his future work? Evaluate financial decision-making to ensure compliance with accounting standards, rules, and regulations. Apply Generally Accepted Accounting Principles (GAAP) to record financial information. Analyze financial statements to inform current business decision-making and draw conclusions about the financial health of a company. Recommend budget planning strategies based on the financial performance of a company.
You are a CPA and you are the CFO (Chief Financial Officer) of USB Computer Technologies Inc., a company that specializes in customized business software. You have been requested by the board of directors of the company to attend its meeting. During the meeting, one of the directors asked you, "Why audits of our company performed by different auditors (internal, external, government). Before you could answer question, another direfctor mentioned "it would be more cost-efficient if our internal auditors will performed all the audits. " Requirements. Write down your reply to each question of the members of the board of directors. In relation to your answer in number 1, identify the issues that must be explained to the Board.

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