...How could some presymptomatic testing be considered toxic for the individual testing, especially testing at an early age? Nevertheless, many parents seek genetic testing of their children, especially for situations in which a genetic disease is known to be present in the family. They may have different reasons for wanting their children tested. These requests create a dilemma for pediatricians. The dilemmas arise, in part, because not all “adult-onset” diseases are alike. Sometimes, there are interventions that may be beneficial in childhood; sometimes, parents seek the reassurance that might come with a negative test result. The requirements for the diagnosis of Huntington's disease (HD) include medical history, family history, neurological examination, brain imaging testing (including magnetic resonance imaging or MRI and computerized tomography or CT), laboratory tests, and genetic testing (when necessary). Side Effects: • MRI: Small children have to be sedated because they must lay PERFECTLY still (which little kids aren't willing to do) for up to 45 minutes (impossible for even the most patient children), and the machine can freak them out. (It's loud and a very small space.) Side effects of the drugs are sleepiness (obviously), nausea, vomiting, irratibility. Sometime headaches and temporary light sensitivity, but it's rare and depends on the drug they use. • CT scans (also known as CAT scans) create 3-dimensional pictures using ionizing radiation. On a daily basis...
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...Auditing and Assurance Services 14th Edition By Arens, Beasley and Elder– Test Bank Score A Grade In your Quizzes (Exams) Click Here to Purchase the Test Bank All 26 Chapters Quiz Answers Email me if there is any problem or if you need help with your other classes assignments, problems or quizzes. ewood6449@gmail.com Auditing and Assurance Services, 14e (Arens) Chapter 1 The Demand for Audit and Other Assurance Services Learning Objective 1-1 1) The Sarbanes-Oxley Act applies to which of the following companies? A) All companies. B) Privately held companies. C) Public companies. D) All public companies and privately held companies with assets greater than $500 million. Answer Terms: Sarbanes-Oxley Act Diff: Easy Objective: LO 1-1 AACSB: Reflective thinking skills Topic: SOX 2) Which of the following is considered audit evidence? A) Oral statements Written Auditor made by management Communications Observation Y N N B) Oral statements made by management N C) Oral statements made by management Y Written Communications Y Auditor Observation Y Written Communications Y Auditor Observation Y D) Oral statements made by management N Answer Terms: Audit evidence Diff: Moderate Objective: LO 1-1 AACSB: Reflective thinking skills Written Communications N Auditor Observation Y 3) Evidence is paramount to audit and attestation engagements. List the four basic types of audit evidence. 4) The criteria by which an auditor evaluates the information under audit may vary with...
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...Cambodia ACCOUNTING AND AUDITING May 15, 2007 Contents Executive Summary Preface Abbreviations and Acronyms I. Introduction II. Institutional Framework III. Accounting Standards as Designed and as Practiced IV. Auditing Standards as Designed and as Practiced V. Perception of the Quality of Financial Reporting VI. Policy Recommendations EXECUTIVE SUMMARY This report provides an assessment of accounting and auditing practices within the corporate sector in Cambodia with reference to the International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB), and the International Standards on Auditing (ISA) issued by the International Federation of Accountants (IFAC). This assessment is positioned within the broader context of the Cambodia’s institutional framework and capacity needed to ensure the quality of corporate financial reporting Cambodia is putting in place an institutional framework with regard to accounting, auditing, and financial reporting practices. However, institutional weaknesses in regulation, compliance, and enforcement of standards and rules still exist. The accounting and auditing statutory framework suffers from inconsistencies among different laws. Although the national accounting standards and auditing standards are based on IFRS, and ISA, respectively, they appear outmoded and have gaps in comparison with the international equivalents. There are varying compliance gaps in both accounting and auditing practices. These gaps...
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...reliability of their financial statements. Bank reconciliation is a critical piece of accounting information on a business's cash balance. The term reconciliation refers to reconciling the cash balance reported in a business's bank statement with that shown on the business's own cash records. Differences between a bank's record of cash and a business's record often exist because of the reporting time delay from when a business deposits or writes checks to when a bank clears the checks and records them. Cash reporting differences may also result from the time lapse during which bank charges and credits remain unknown to a business until a bank statement becomes available. Each month, a business must perform a bank reconciliation to determine the correct cash balance, and auditing the bank reconciliation ensures that the reconciled cash balance reflects correct adjustments. Step 1 Test mathematical accuracy. A bank reconciliation is a working paper in which a business applies various adjustments, such as deposits in transit, outstanding checks, bank charges and credits to both a bank statement balance and a book recording balance and find agreement between the two sets of cash records. In auditing bank reconciliation, the auditor always performs a basic arithmetic test to ensure that cash additions and deductions made to bank and book balances are mathematically correct. Step 2 Confirm bank and book balances. While some auditing work focuses on detecting potentially non-compliance...
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...1-17 A. The interest rate for the United National Bank loan is lower than the original loan since a review report by a CPA would lower the information risk. The same goes for the First City Bank yet an even lower rate because an audit report is even more detailed, therefore, lower the information risk more. B. The loan from First City Bank offers the best annual costs: Bank | CPA Costs | Annual Interest | Total Annual Cost | Current Loan | 0 | 360,000 | 360,000 | United National | 35,000 | 300,000 | 335,000 | First City | 60,000 | 240,000 | 300,000 | C. Busch Corp should take the loan from United National: Bank | CPA Costs | Annual Interest | Total Annual Cost | Current Loan | 0 | 360,000 | 360,000 | United National | 35,000 | 270,000 | 305,000 | First City | 80,000 | 240,000 | 320,000 | D. Busch Corp may desire to have an audit regardless of the cost since it has the potential of helping to detect fraud, assist in management decision making and help with recommendation for control efficiency. E. The value of the audit is higher when the auditor has a substantial understanding of the business the client is in. In order to assess risks, accuracies and help recommend controls, the auditor needs to understand the structure of the industry, specific regulations, technology used and the nature of the business’s customers and creditors. 1-19 A. Definition of auditing: 1. Information- quantity and quality of the trucks 2. Established...
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... | |• Publication by the Auditing Practices Board of a guidance note to auditors of banks in Ireland | |• Appointment of a new director of corporate enforcement. | |• Implementation of new SEC independence rules. | |• Emergence of a more co-ordinated international approach to audit regulation. | | | |On the 3rd of August the Auditing Practices Board issued a draft practice note providing up-to-date guidance to auditors of | |banks in Ireland. The Institute of Chartered Accountants in Ireland led the project group which drafted the practice note on | |behalf of the Auditing Practices Board and there was extensive consultation with a number of government agencies and in | |particular with the Central Bank. | | | |The report is quite comprehensive and deals with a number of issues raised by the review group on auditing. In outline the | |issues addressed are as...
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...Section A: Audit Practice Part b (i): Why is the audit of cash important part of the audit? From an auditing standpoint, cash is an important account because cash transactions affect all other business and financial processes. Businesses acquire cash by selling goods or services, disposing of fixed assets, or acquiring debt or equity. The same businesses put their cash to use through purchasing, paying employees, and buying inventory. Audits are an important part of business. Cash audits check that money has been handled properly, and performance audits ascertain whether employees are doing their jobs properly. Corporations are likely to undergo tax audits to ensure proper tax reporting and withholding. Audits may be performed in-house by management or human resources, by a third-party consulting firm hired specifically to perform the audits or by IRS agents who are auditing company tax records. The audit of cash is considered an important part of an audit mainly due to almost all business transactions will be ultimately settled through the cash accounts, the audit of cash accounts also assists in the verification of other asset and liability accounts as well as revenue and expenses. Some of the investor relies on the accuracy of the cash account to evaluate the financial health of the company. They use current asset which include the cash account to compute several financial measures. Other than that, cash is the highly liquid asset in a company and it is an area of high...
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...cases their homes. Outraged investors everywhere are asking questions, where were the auditors? How can such a scheme go uncovered by accounting professionals? Did Stanford's auditors perform their duties in accordance to Generally Accepted Auditing Standards (GAAS)? According to various sources apparently there were two accounting firms named in the scandal that were involved with Stanford Financial, CAS Hewlett, and BDO USA LLP. According to Andrew Clark's article "Confusion surrounds 'auditor' of Allen Stanford's business empire"(The Guardian) it was alleged that CAS Hewlett, a small Antigua based firm was responsible for the auditing of Stanford International Bank (SIB). However when the small firm had been approached about the accusations they denied having any knowledge of who Allen Stanford even was. Apparently the only person who would have had that information was CAS Hewlett's chief executive Charlesworth Hewlett who died January 1st 2009. BDO USA LLP was responsible for the auditing of Stanford Group Company another component of Stanford's business. According to Michael Cohen's article "Stanford Investors Sue BDO"(Accounting Today) A Spokesperson of BDO stated that "BDO was never the auditor of Stanford International Bank - the entity where the fraud took place." Investors of Stanford Financial filed suit against BDO USA LLP in May of 2011...
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... Contents SUMMARY OF TERMS 3 ABSTRACT 4 STATEMENT OF THE PROBLEM 5 LITERATURE REVIEW 6 a. Introduction 6 b. The Need for an Audit 7 c. Risk of fraud 8 d. The Auditor-Investor ''Expectation Gap'' 9 e. Auditing Profession and Challenges 9 f. Public opinion 10 g. Family or Personal Relationship 10 h. Integrity 11 i. Inherent limitations of an audit. 11 j. Responsibility of Auditors to Third Parties – Case Law 12 k. International, Assurance Auditing, Standards Board (IAASB) 14 CORPORATE FRAUD CASES 16 CASE STUDY: 21 CONCLUSIONS………………………………………………………………………………24 REFERENCES……………………………………………………………………………..….25 SUMMARY OF TERMS ISA: International standards of Audit KPC: Kenya Pipeline Company IAASB: International Assurance Audit Board IFAC: International Federation of Accounting USD: United States Dollar KCB: Kenya Commercial Bank BCCI: Bank of Credit International SEC: Securities and Exchange Commission ABSTRACT The way in which auditors perform their duties and the auditing profession in general raises questions and puts the auditors on the spotlight from clients who rely on their reports. Questions on whether the public trust the way auditors perform their secondary duty of detecting errors and frauds, the reliability, completeness and accuracy of their auditing reports have been raised. The research focuses on; Management and auditors’ responsibility for its prevention and detection of fraud, the auditor’s responsibility for reporting fraud to management. The...
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...cash accounts assists in the verification of other asset and liability accounts as well as revenue and expenses * Cash is the highly liquid asset in a company and it is an area of high inherent risk since there is a relatively high risk of misappropriation. * Investors rely on the accuracy of cash in evaluating the company’s financial well being The audit steps for cash are a routine part of an audit, therefore this part is usually assigned to new staff members or interns. However, professional skepticism should be present when reviewing cash or any other part of an audit, whether routine or not. (Hinton, Lecture Notes) 2. It is very important when an auditor develops an audit program to include thorough procedures for auditing cash balances, as it has a direct effect on an organization's profits. The auditor must perform audit procedures of the internal controls of the company to detect any shortcomings. In addition, the auditor will perform substantive tests of details, tests to detect lapping, and analytical procedures in order to verify that there is no material misstatement and to provide evidence to support the assertion that the financial records of an entity are complete, valid, and accurate. (Aldridge) For this case, the auditor has concluded things are operating effectively through the test of controls of transactions, but they still would need to complete the substantive testing. So the following activities should be conducted in substantive testing...
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...CHAPTER 2 OVERVIEW OF AUDITING I. Review Questions 1. One definition of auditing is that it is a systematic process by which a competent, independent person objectively obtains and evaluates evidence regarding assertions about economic actions and events to ascertain the degree of correspondence between those assertions and established criteria and communicating the results to interested users. The Philippine Standards on Auditing (PSA) 120 “Framework of Philippine Standards on Auditing” states the objective of an audit as follows: “The objective of an audit of financial statements is to enable the auditor to express an opinion whether the financial statements are prepared in all material respects, in accordance with an identified financial reporting framework.” 2. This apparent paradox arises from the distinction between the function of auditing and the function of accounting. The accounting function is the process of recording, classifying and summarizing economic events to provide relevant information to decision makers. The rules of accounting are the criteria used by the auditor for evaluating the presentation of economic events for financial statements and he or she must therefore have an understanding of generally accepted accounting principles (GAAP), as well as generally accepted auditing standards (GAAS). The accountant need not, and frequently does not, understand what auditors do, unless he or she is involved in doing audits, or has been trained...
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...There anther department which has a Bank branches which under department of Bank, that located 1. Branch of Hargaysia 2. Branch of Gebiley 3. Branch of Boraoama 4. Branch of Burco 5. Branch of Caynabo 6. Branch of Berbera 7. Branch of Lascanood 8. Branch of Ceerigabo General Secretary Department 1) This department responsible all the information about Bank. The document s which sending local and international, A branch of Bank and things has a near relationship. 2) Department of monitoring and inspector , auditing which responsible research and auditing and responsible for the Bank, the general director of Bank. Write latter which investigate, but they are not independent direct to what they are investigate. 3) Personnel department office Which is responsible the employee s affairs what related employees need , creating their programs and promotion , monitoring when employees makes bad action things which is an ethics ,that means transmitted bad thing to another and they transmitted the director of Bank . 4) General central cash department Department of personnel which responsible manage of money and care of money transmitted of branches, of bank anybody who need. The money which sent or receives and the authority only have general director of Bank, or the chairman he is no independent without command. 4) Department technical and transformation , which responsible stationary of Bank, If the Bank need and preached transformation...
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...g The Malaysian Institute of Certified Public Accountants (Institut Akauntan Awam Bertauliah Malaysia) (3246-U) January 15, 2008 Circular No: Stu/02/01/08 To: ALL REGISTERED STUDENTS MICPA EXAMINATION ACCOUNTING AND AUDITING STANDARDS The Institute’s Examination Regulations and Syllabus state that: (a) Questions involving knowledge of accounting and auditing should be answered in accordance with the requirements of approved accounting standards, approved auditing standards/guidelines and the relevant legislation; Questions involving knowledge of new approved accounting standards, approved auditing standards/guidelines and exposure drafts will not be set until at least 6 months have elapsed since the last day of the month in which the statement became effective or was published. (b) The list of accounting standards, auditing standards and other technical pronouncements, which are currently examinable in the Institute’s examination, are set out below. I. Approved Accounting Standards The Companies Act 1965 requires that approved accounting standards are to be applied to the financial statements of all companies. Approved accounting standards are issued by the Malaysian Accounting Standards Board (MASB), which is established under the Financial Reporting Act 1997. For the purposes of the MICPA pronouncements are examinable : examination, the following accounting (i) (ii) (iii) MASB approved accounting standards and other pronouncements issued by MASB; Malaysian...
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...CHAPTER 1 Introduction to Auditing SOLUTIONS FOR REVIEW CHECKPOINTS 1-1 Auditors add credibility to financial information provided by the accountable party such as management (i.e. auditors make the financial or other information more likely to be true). Other common ways of characterizing this property of audited numbers is that the numbers are more accurate, have higher assurance, or are more reliable. These relate to different dimension of truthfulness, as we discuss later in the text. 1-2 Auditing is the verification of numbers provided by others. To attest means to lend credibility or to vouch for the truth or accuracy of the statements that one party makes to another. The attest function is a term often applied to the activities of independent PAs when acting as auditors of financial statements. Since financial statements are prepared by managers of an entity who have authority and responsibility for financial success or failure, an outsider may be skeptical that the statements are objective, free from bias, fully informative, and free from material error--intentional or inadvertent. The audit opinion of an independent-PA auditor helps resolve those doubts because the auditor's success depends upon his independent, objective, and competent assessment of the conformity of the financial statements with GAAP. The auditor's role is to lend credibility to the statements, hence the outsider will likely seek his independent audit opinion. 1-3 Client:...
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...Introduction The recent general crisis taking place around the world has many causes behind it; one of them being is financial scandals. The financial scandals are making false or incorrect attempts with the financial records of company for benefit or hiding scams. Auditing failure was another reason behind general crisis, auditing failures occurs when auditor declares that a company’s financial statements are true and fair but comprises many frauds or disclosed information. This eventually resulted in questioning of auditors role in providing true and fair view of financial records around the world. The motive behind writing this essay is to gain more information and knowledge about Auditing as whole. In this essay we are going to discuss issues relating to financial scandals caused general crisis of confidence in the integrity of the whole system of corporate accountability, classifying auditors role and the efficiency of the auditing process, Also selecting a company for example Parmalat, analyzing and discussing the issues that challenged the credibility of audit reports issued by auditing firms like Grant thorton and Deloitte & Touche. In December 2003, The parmalat was involved in a giant accounting fraud of worth more than $10 billion. The SEC states that the Parmalat scandal was one of the brazen and major financial frauds in the history. In eightees Parmalat became popular in dairy markets and expanded its operation in other food markets as well. In 2001, the...
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