Audit and common fraud

If some frauds are deemed common, should auditors be held liable if they do not find a common fraud? Why or why not?

Identify examples of incremental commercialization within the public accounting profession

In the Scott Fane opinion, Justice O’Connor alluded to “incremental commercialization” within professions. Identify examples of incremental commercialization within the public accounting profession in recent years. How, if at all, has an increasing emphasis on the commercial aspects of public accounting affected the profession? ...continues

Audit Questions

Should publicly traded companies be required to publish the management letters that come from the auditors? Why or why not? Is a qualified audit opinion always a bad thing? Why or why not?

Auditing Case Study

I need help to answer some questions relating an accounting-auditing case study. I only need question 1 & 2 answered.

Cash: Audit Procedures and controls to identify errors

The following items were discovered during the audit of the Cash account. For each item identified: a. Indicate the audit procedure that most likely would have led to the discovery of the error. b. Identify one or two internal controls that would have prevented or detected the misstatement or irregularity. Audit Findings 1. ...continues

Audit: Going Concern Issues of responsibility and reporting

A staff auditor has just returned from a continuing professional education workshop on current auditing standards. One of her managers has asked her to prepare a training session for the rest of the staff. In particular, he wants her to discuss the standard related to the client’s ability to continue as a going concern. Requi ...continues

Auditing Problem: ethical dilemma and completion procedures

Sue and John Brown are the owners of a gas and convenience store with a coffee and donut area along a busy highway near Wawa, Ontario. They have a mortgage with RBC for $650,000 and an operating line of credit for $200,000. In the past, the business has serviced the debt and produced a reasonable return on the investment. RBC ...continues

How does the auditor set the tolerable level of control risk?

How does the auditor set the tolerable level of control risk?

Auditing and other assurance services

Lenter Supply Corp. is a medium-sized distributor of wholesale hardware supplied in southern Manitoba. It has been a client of yours for several years and has instituted excellent internal control for sales at your recommendation. In Providing control over shipments, the client has prenumbered"warehouse removal slips" that a ...continues

File contains various solutions to auditing questions.

Agree or disagree? if disagree, please give simple explanation 1. Attribute sampling estimates the proportion of items that contain a percentage of error and can be used in tests of balances. 2. In applying the concept of materiality, the auditor must identify misstatements from the sample selected, calculate likely missta ...continues