Auditor's report

Executive Summary This report examines the Role of the Auditor General in Canada. The Auditor General of Canada is Michael Ferguson and serves Parliament. The Auditor General and the Office of the Auditor General (OAG) perform legislative audits, which include: financial audits, performance audits and special examinations. The OAG audits the federal government, crown corporations and territorial governments. Within the OAG is the Commissioner of Environmental and Sustainable Development. The…

audit evidence to perform the company auditing. Moreover, the auditor’s direct knowledge is also tested when delivery receipts are considered as reliable audit evidence for Grant Thornton to perform JGI’s audit report. If the auditors had obtained the audit evidence directly via observations, recalculation and inspections, the evidence is more reliable than the evidence calculated by the controller itself. Hence, the independent auditor’s decision to rely only on the delivery receipts is not…

Upon review of Kelly Service company’s various financial statements including the Management's Discussion and Analysis and the auditor’s report from the Form 10-K and investment research centers, Kelly Services looks to be a solid company with opportunity for growth if it chooses. Value Line has rated Kelly Services as a 3 for safety and downgraded to a 3 for timelines, 3 is average for Value Line’s rating system. They gave Kelly Services company a B+ for financial strength, which is average…

A discussion to the question asked by Congressman Richard Shelby of the House of Representative about the independence of auditors establishing long-term personal and professional relationship with companies by auditing those companies. Respectively companies that retain the same auditors for long period of time may perhaps question their independence and objectivity. The failure of financial reporting at Enron, WorldCom, Lemon Bother and others, led to financial reporting reforms. Audit firm…

Only monetary claims may be the subject of a Rule 167 offer. Lauren is seeking the court to impose a constructive trust (an equitable remedy) on 10% of future inspection sales generated by Hartford and State Farm. While this is an equitable remedy, the imposition of the constructive trust will result in monetary damages. The issue is whether this would classify as a monetary claim for rule 167 purposes? Under rule 167.2, “an offer must not include non-monetary claims and other claims to which…

After graduating from California State University, James Watkins started an entertainment business called Best Club. Initially, the business failed because James ignored day-to-day operations and cost controls. Best Club was heavily in debt and as expenses increased, James could not meet the debts. However, he wanted success and money, which lead him to commit fraud. James committed insurance fraud and obtained loan by falsifying financial statement to save his business. During whole this fraud…

Commission published a report entitled “The Accounting Establishment” that noted “the ‘Big Eight’ and other large accounting firms readily accepted the special stature associated with their designated role as independent auditors, but they have not fully accepted the special responsibilities which accompany the position of independent auditor.” The report cited long relationships between corporations and auditors as a possible reason for the apparent lack of auditor independence. The report…

Sarbanes-Oxley Act, Section 301: Public Company Audit Committees, is created to address systemic and structural weaknesses that affecting the US capital markets due to failures of audit effectiveness and corporate financial responsibility that could potentially “threatened the reputation of those markets for integrity (Tsacoumis, S, Bess, S, and Sappington, A, 2003).” Section 301 provided appropriate regulatory authority of the audit committee the power to overseeing the accounting and…

Organizations have no choice but to provide reports while applying for loans or selling stock (Hale, Landry, & Wood, 2004). Independent auditors who do not work for the company must ensure that consumer's accounting systems is adopting commonly accepted accounting principles GAAP (Generally Accepted Accounting Principles). After reviewing the auditor’s report, Marry Ann evaluated financial statements (Losano, 1979). The evaluation showed that the recent…

in financial statement elements that cannot be precisely determined. Therefore the amounts are subjective and lack precision because they are plagued by the use of subjective management foresight to determine the values utilized in the financial reports. Where the use of estimates is encouraged there is definitely a lack of accuracy and reliability of the financial information provided (Lev 2016). Some of the typical examples (Table I) of accounting estimates include valuation of securities,…