Financial audit

accountants have a responsibility to users of financial statements, it is necessary for auditors to be independent both in appearance and fact. An auditor should be capable of upholding an impartial attitude throughout the auditing process and gain the faith and confidence of others on his or her independence. It is therefore, necessary for auditors…

whether a company’s financial statements are presented fairly and accordance with the financial reporting framework. When providing auditing and other attestation services, an auditor should be independent. Amanda was assigned to audit LAW LLC financial statements. Amanda was faced with an ethical dilemma when LAW LLC’s audit report showed little evidence of the different assets on its balance sheet. Also, LAW LLC violated their loan covenant which due whether it was on the financial statement.…

individual items that affect a company 's financial statement assertions. In the American food suppliers’ case study, third party confirmation was used where they relied on the vendors’ sales people. The audit team investigating the company did not rely on the accounting department of the American Food Suppliers’. However, employees of American Food Suppliers had colluded with some of it, suppliers. On further investigation, the auditors discovered…

Planning, performing and reporting are the three major stages of auditing. The first stage in an audit is the planning stage. The planning stage consists of getting to know the client, pinpointing factors that could impact the risk for a material misstatement for the financial records, and creating an audit strategy (Wiley,2015). Marilyn Terrill is the senior auditor for the the Uden Supply Company audit, for this client she will need to perform the analytical procedures and calculate the…

might be causing DOW’s transfer of financial assets account to somehow make their financial statements materially misstated by designing and executing auditing tests. As I stated before DOW trades accounts receivable with many third party clients and conduits, in effect making the transfer of financial assets section of their company to be very complicated and susceptible to fraud. When an auditor is approached to complete an audit of DOW’s transfer of financial assets, there are a few steps…

118, requesting mandatorily from all banks to establish an audit committee in their board of directors with clear measures regarding the size of the committee, the frequency of meetings, the financial expertise of its members, etc. This decision had positive impact on the banks’ corporate governance in many terms. It helped improving the internal audit work especially in the Anti Money Laundering function. The new decision also made the audit committee able to evaluate the external auditors’…

Answer 1 Audit firms adopt the approaches for auditing the specified audit assignment which will be the key factor to determine the outcome of that audit. Risk based audit approach is related towards the company’s financial statements that may contain misstatements which can happen by omission or error as risk consequences faced by business. If auditors failed to go for correct approach there is more likeliness of failing of audit and this failure will lead to legal case against the audit firm…

JPMorgan Chase & Co is a worldwide enterprise in banking and financial services, headquartered in New York City. They operate in more than 100 countries and employ about 235,000 people. They specialize in market, treasury and investor services, as well as investment, management, and private banking. The corporation takes the time to focus on employee benefits, offering insurance for vision, dental and healthcare and providing savings and employee stock purchase plan. In 2015, JPMorgan Chase…

Thank you for your consideration on potentially interested in having audit for your company, Scottish Treats Ltd and reaching out to our firm. The queries you laid out in your letter are a great sources of information in order to determine that the company needed in having an audit. In the next part of the letter, I will be explaining the answers to your queries and clearly clarify whether the company need in having an audit. The information for the company hoping to go for listing on stock…

restrictions to get the results of the year or quarter or month. In addition verified the funds, debt and the use of financial and in-kind materials management. One of its functions is also auditing the use of financial resources are used economically feasible, for example, in the case of doing forms. Sometimes it cares to free of financial resources to its investment after full audit, which compares the performances…