...Melanie Waghalter Johnson Unit 4 Assignment 1 Professor Cynthia Waddell ACC555: Fraud Examination “How to Steal a Million Dollar Without Taking the Cash” Seneca Staunton was an overwhelmed accounting clerk at Carlton Chemicals. His job was to deal with AR collection, customer service issues, process payments and keep the AR records straight. He was a quiet man who preferred to work alone than with others, and this was his down fall with Carlton Chemicals. The only time that Seneca was vocal was when his department was audited. He would get upset and complain about the added work load caused by the auditors. He would delay getting reports and other paperwork to them causing issues with completing the audit itself. When the reports finally got to the head auditor there were discrepancies in the reports. The senior auditor took her concerns to Seneca’s boss, Max Fairchild, because the reports would not reconcile and she was concerned. After being brought the discrepancies in the reports, Max spent several hours in trying to figure out what Seneca had done. He was unable to find if the money was missing by embezzlement or misapplied funds. All he knew at this point is that Seneca was the only one to apply the payments and that he was the one to answer the questions. Waiting until the next afternoon, Max spoke with Seneca who immediately admitted that he had misapplied the funds, but had not stolen any of the money. Max had decided to write a reprimand on Seneca stating...
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...Worksheet for You Decide Name Cathie Reid Course Code ACC555 Grade ___/ Date_12_/12_/12_ Questions: Q1: Discuss how the SEC has influence (if any) over the audit of Smackey Dog Foods, Inc. Solution: The SEC does not have direct influence over the audit of Smackey Company because, Smackey is not a public held organization, they do not have assets in excess of $10 million, and they do not have over 500 stockholders; which are the requirements for public and privately held companies. The SEC does have indirect influence over the audit because all companies, whether public or private are required to comply with General Accepted Accounting Principles (GAAP) and the SEC plays a significant role in influencing these standards. The auditors, while not bound by SEC rules they are required to obey specific audit rules and guidelines as outlined under the the American Institute of Certified Public Accountants (AICPA). The AICPA is responsible for establishing auditing and attestation standards for private companies in the United States and for enforcing a code of professional conduct for its members. The code is comprised of six principles that the auditors must adhere to. The principles are: responsibilities, the public interest, integrity, independence and objectivity, due care, and the scope and nature of services. Q2: Discuss the essential activities involved in the initial planning of an audit. How do these all specifically to the Smackey Dog Food...
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...Free eChapters (FALL 2012) eChapters offer students immediate access to the first few chapters of their textbooks while they are waiting for the print book to arrive. eChapters help students to keep up with required reading and assignments until they receive their course material, without having to pay expedited shipping costs. eChapters that are available from the publisher are attainable free of charge. How do students gain access to free eChapters? Not all courses or textbooks have eChapters available. For all courses where eChapters are available, the files are located in the student’s Blackboard course shell under the Student Center. Below is a list of courses with eChapters loaded into the course shells, giving students free access as of the first day of classes. * = eChapters are forthcoming Course ID ACC100 ACC206 ACC303 ACC304 ACC305 ACC306 Text Title Accounting Principles – 9th edition Accounting Principles – 9th edition Intermediate Accounting 14e Intermediate Accounting 14e Intermediate Accounting 14e Microcomputer Applications for Accounting Excel 2010 Microsoft® Excel 2010: A Case Approach, Complete, 1st Edition, copyright 2011 SOUTH WESTERN FEDERAL TAXATION 2012: COMPREHENSIVE, 36th ed. South-Western Federal Taxation 2013: Corporations, Partnerships, Estates and Trusts, 36th Edition Cost Accounting 13th 09 ed. Advanced Accounting 4th 10th ed. Auditing & Assurance Services 13th 10 ed. Core Concepts of Government and Not for Profit Accounting 2nd ed., 2011 ed ACC...
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