The following are selected portions of the report ofmanagement from a published annual report.REPORT OF MANAGEMENTManagement’s Report on Internal Control over Financial ReportingThe Company’s management is responsible for establishing and maintaining adequateinternal control over financial reporting. The Company’s internal control over financialreporting is a process designed under the supervision of its President and ChiefExecutive Officer and Chief Financial Officer to provide reasonable assurance regardingthe reliability of financial reporting and the preparation of the Company’s financialstatements for external reporting in accordance with accounting principles generallyaccepted in the United States of America. Management evaluates the effectiveness ofthe Company’s internal control over financial reporting using the criteria set forth bythe Committee of Sponsoring Organizations of the Treadway Commission (COSO)in Internal Control–Integrated Framework. Management, under the supervision andwith the participation of the Company’s President and Chief Executive Officer andChief Financial Officer assessed the effectiveness of the Company’s internal controlover financial reporting as of December 31, 2013, and concluded it is effective.Management’s Responsibility for Consolidated Financial StatementsManagement is also responsible for the preparation and content of the accompanyingconsolidated financial statements as well as all other related information containedin this annual report. These financial statements have been prepared in conformitywith accounting principles generally accepted in the United States, and necessarilyinclude amounts which are based on management’s best estimates and judgments.a. What are the purposes of the two parts of the report of management?b. What is the auditor’s responsibility related to the report of management?
The following are selected portions of the report of
management from a published annual report.
REPORT OF MANAGEMENT
Management’s Report on Internal Control over Financial Reporting
The Company’s management is responsible for establishing and maintaining adequate
internal control over financial reporting. The Company’s internal control over financial
reporting is a process designed under the supervision of its President and Chief
Executive Officer and Chief Financial Officer to provide reasonable assurance regarding
the reliability of financial reporting and the preparation of the Company’s financial
statements for external reporting in accordance with accounting principles generally
accepted in the United States of America. Management evaluates the effectiveness of
the Company’s internal control over financial reporting using the criteria set forth by
the Committee of Sponsoring Organizations of the Treadway Commission (COSO)
in Internal Control–Integrated Framework. Management, under the supervision and
with the participation of the Company’s President and Chief Executive Officer and
Chief Financial Officer assessed the effectiveness of the Company’s internal control
over financial reporting as of December 31, 2013, and concluded it is effective.
Management’s Responsibility for Consolidated Financial Statements
Management is also responsible for the preparation and content of the accompanying
consolidated financial statements as well as all other related information contained
in this annual report. These financial statements have been prepared in conformity
with accounting principles generally accepted in the United States, and necessarily
include amounts which are based on management’s best estimates and judgments.
a. What are the purposes of the two parts of the report of management?
b. What is the auditor’s responsibility related to the report of management?
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