GLOSSARY OF TERMS 1 (August 2013) Access controls—Procedures designed to restrict access to on-line terminal devices, programs and data. Access controls consist of “user authentication” and “user authorization.” “User authentication” typically attempts to identify a user through unique logon identifications, passwords, access cards or biometric data. “User authorization” consists of access rules to determine the computer resources each user may access. Specifically, such procedures are designed to
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1. The audit risk model consists of four parts. These parts are planned detection risk, inherent risk, control risk and acceptable audit risk. Planned Detection Risk- the risk that the audit evidence will fail to detect material misstatements which exceed a tolerable amount. This specific part of the audit risk model consists of the other three and will only change if one of the other three changes. This determines the amount of evidence the auditor plans to gather. Inherent Risk-The auditor’s
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Nature of Auditing and the Public Accounting Profession 1. Auditing neither creates goods nor adds utility to existing goods and therefore does not add value to business. Auditing exists only because it has been legally mandated. Auditing exists because it is needed by the company. It is beneficial to users who need assurance if their financial statements reflect economic conditions that occurred in a period. Without reliable information, companies might make less effective decisions which
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works 5. Other levies include guest house levy collections and service levy THUS; (i) All revenues to the company shall be acknowledged by the official company receipt and shall be kept in safe place and make available to the auditors when accounts are being audited and/or any other officials so authorized at any other time deemed necessary. (ii) The office of the Finance Manager shall be responsible for keeping all accounting and finance records. (iii) All official receipt books
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later in the course. Many instructors will not assign any problem from the end of this chapter. This can be done without any loss of overall continuity in the course. If the course will emphasize internal controls, it might be desirable to cover in class one of the general cases on internal control from the back of Chapters 4, 7, or 8. This should be done to stimulate student interest, but the instructor should not worry if the students in the course fail to analyze the case correctly. In some
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ACCOUNTING SCHOOL-BASED ASSESSMENT EXEMPLARS – CAPS GRADE 12 LEARNER GUIDE ACCOUNTING SCHOOL-BASED ASSESSMENT EXEMPLARS – CAPS GRADE 12 LEARNER GUIDE CONTENTS Introduction.................................................................................................................... Task A 1 First Term Report: Companies This task is suitable for Grade 12 learners from 2014 (CAPS). Question paper.....................................................................
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Audit Engagement Report Casey L. Stewart ACC/546 May 21, 2012 Shawn Cerezo Audit Engagement Report Balestra, Harr & Scherer, CPAs, Inc. Casey L. Stewart Partner 528 South West St Piketon, Ohio 45661 Apollo Shoes, Inc. Mr. Eric Unum VP of Finance 100 Shoe Plaza Shoetown, ME 00001 We are pleased to confirm our understanding of the services we are to provide Apollo Shoes, Inc. for the year ended December 31, 2007. We will audit the financial statements of Apollo Shoes, Inc
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rules as required by Section 208 of SOX. These rules include the following: * Non-audit services- this rule says that the accounting firm doing the auditing of a company cannot also do other types of accounting services including bookkeeping, internal audit outsourcing services, legal services, and many more non auditing services. * Audit committee pre-approvals- requires that an issuer’s audit committee pre-approve all audit and no audit services provided by its auditor. Before the firm is
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Case Study | Parts 1 - 4 | | Brendan Fitzpatrick, Hui Liu, Yingqi Liu, Noushin Mousavi, Timothy Ryan & Pei Yan | 10/1/2013 | | Table of Contents Part 1: Staffing Assignment 2 Part 2: Audit Risk 2 Inherent Risk 2 Control Risk 3 Audit Risk Conclusion 4 Part 3: Materiality 4 Part 4: Analytical Review 4 Part 1: Staffing Assignment After looking over the preliminary work papers regarding the audit for the client, Apollo Shoes (Apollo), it is evident that we
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students with an opportunity to understand what is meant by quality control in the financial statement audit process and to understand why a quality control mechanism is an important internal control procedure for an audit firm. Further, the case provides a terrific example for students to see what can actually happen when quality control breaks down at an audit firm. In the case of Arthur Andersen, the breakdown in quality control ultimately led to the demise of the firm. To meet these objectives
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