Stockholders' Equity: audit program for Zeitlow Corporation

A CPA firm is engaged in the examination of the financial statements of Zeitlow Corporation for the year ended 12/31/06, Zeitlow Corporation's financial statements and records have never been audited by a CPA. The stockholders' equity section of the balance sheet at 12/31/06 is Stockholders' Equity: Captial stock - 10,0 ...continues

Need help answering audit questions about wrapping up an audit, other types of engagements, a 'going concern' qualification and other types of audit opinions.

What are the steps that are required for an auditor to finalize the audit? Which steps are the most crucial to the outcome of the audit? How will these steps affect the final audit decision? What other types of engagements are auditors involved in besides auditing? What are the other types of reports that auditors will is ...continues

Auditing: standards of field work applied to auditing of accounts receivable for Throne Company

11-28) Elizabeth Cole, the senior auditor-in-charge of the audit of Throne Company, a small manufacturer, was busy writing the audit report for another engagement. Accordingly, she sent Martine Joseph, a recently hired staff assistant if the CPA firm, to begin the audit of Throne Company, with the suggestion that Joseph starts w ...continues

Auditing (Inventories and Cost of Goods Sold)

12-22) At the beginning of your audit of Crestview Manufacturing Company’s financial statements for the year ended December 31, 200X, the company president confides in you that Henry Ward, an employee, is living on a scale in excess of that which his salary would support. The employee has been a buyer in the purchasing departm ...continues

Auditing problems : Auditing Operations and Completing the Audit

16-38) In connection with an audit of the financial statements of Olympia Company, the auditors are reviewing procedures for accumulating direct labor-hours. They learn that all production is by job order and that all employees are paid hourly wages, with time and a half for overtime hours. Olympia’s direct labor-hour input p ...continues

Audits

Explain how a licensed CPA (as an outside auditor) could be of value to your company. Critique current auditing standards. Analyze the importance of ethics in the audit process. Assess the role of auditing in reducing information risk for decision makers Explain how independent audits could help the decision makers at yo ...continues

Auditing

Do poor internal controls mean that the financial statements are misstated? Why or why not? If not, why even consider internal controls?

Audit Risk

Your firm has been hired as an outside auditor to conduct an audit on a growing software company that is getting ready to go public. The company has been in business for approximately five years, and the Controller position has had three different people in this time period. The main shareholder tells you the first Controller le ...continues

Departures from GAAP - Auditing Reports

On January 1, Graham Company purchased land (the site of a new building) for $100,000. Soon thereafter, the Highway Department announced a new feeder roadway route that would run alongside the site. The effect was a dramatic increase in local property values. Nearby comparable land sold for $700,000 in December of the current ye ...continues

Various Report Situations - Auditing Reports

Assume the auditors encountered the following separate situations when deciding upon the report to issue for the current-year financial statements. 1. The auditor decided that sufficient competent evidence could not be obtained to complete the audit of significant investments the company held in a foreign company. 2. The c ...continues