PRINCIPLES GOVERNING AN AUDIT OF FINANCIAL STATEMENTS (Effective for audits of financial statements for periods beginning on or after June 15, 2006)∗ CONTENTS Paragraph Introduction .................................................................................................... 1 Objective of an Audit of Financial Statements .............................................. 2-3 Ethical Requirements Relating to an Audit of Financial Statements ............. 4-5 Conduct of an Audit of Financial Statements
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profession has relied on agreed upon procedures at the beginning of its emergence. The current formal audit practice has evolved relatively recently. The story of how auditing evolved started in the early 20th century with the growth of industrial revolution, when firms entered the stock market which was unregulated at the time a growing need evolved to detect fraud and make more reliable financial statements as investors began to depend on financial reports. Federal Trade Commission requested AICPA to provide
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perform a number of testing procedures designed by Carole Mitchell, in-charge auditor on the engagement. Heyman recalled that several parts of the initial risk brainstorming involved inventory and merchandise purchases. At the present time, Heyman is beginning to analyze the transactions that occur in the client's merchandise procurement system. Within this testing, he is especially interested in determining the extent to which employees comply with control procedures while carrying out various required
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Beginning the Audit – Apollo Shoes Anderson, Olds & Watershed, CPAs, LLC Phoenix, AZ 85210 October 15, 2012 Mr. Larry Lancaster Chairman, President & CEO Apollo Shoes 1 Shoeplace Shoetown, Maine 00001 Dear Mr. Lancaster, The Objective and Scope of the Audit of the Financial Statements You have requested that we audit the financial statements of Apollo Shoes Incorporated, which comprise the balance sheet as of December 31, 2012, and the related statements of operations, changes
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Effective for audits of financial statements for periods ending on or after June 30, 1998, unless otherwise indicated. Introduction .01 This section establishes a requirement that the independent auditor obtain written representations from management as a part of an audit of financial statements performed in accordance with generally accepted auditing standards and provides guidance concerning the representations to be obtained. Reliance on Management Representations .02 During an audit, management
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Senior Manager Principal responsibility & Key Areas: As coordinator to assort with audit for IPO in HK, and follow up audit schedule Assorting with other departments to complete Due Diligence of legal and finance Cooperating with each intermediary agencies, and completing Management's Discussion and Analysis (MD&A) Providing consolidation report and various analyses report to VC, management, bank and other organization Perfecting examination and approval authority
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CPA Report ACC 545/Financial Reporting November 21, 2011 Deborah Asbury Introduction Certified public accountants (CPAs) have many professional responsibilities whether completing a review or an audit of the client’s financials. CPAs can also ask the opinion of other CPAs during the course of completing work for clients. The firm has been asked to provide information on the correct way to calculate deferred taxes, the correct way to report accounting changes and error corrections, and
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history of auditing The evolution of auditing is a complicated history that has always been changing through historical events. Auditing always changed to meet the needs of the business environment of that day. Auditing has been around since the beginning of human civilization, focusing mainly, at first, on finding fraud. As the United States grew, the business world grew, and auditing began to play more important roles. In the late 1800’s and early 1900’s, people began to invest money into large
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to revealed. However, when it’s time for that business to get audit, the business owner felt as if they did not have enough protection in maintaining the privacy of the business. In retaliation to this, the “Public Company Accounting Oversight Board,” also known as PCAOB was created. In 2002, the congress created PCAOB in an attempt to protect the business. The PCAOB is a nonprofit corporation established by Congress to oversee the audits of public companies in order to protect investors and the public
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XYZ SCHOOLS Internal Audit Department Audit of School Activity Accounts FY xx Audit Planning Memorandum June, xxxx The purpose of this Memorandum is to lay out in sufficient detail the key tenants of the audit of XYZ schools (XYZ) FY xx School Activity Accounts. They are as follows: BACKGROUND: Activity Account funds are defined as all monies collected and disbursed by personnel within a school for the benefit of the school or a school-sponsored activity. These funds are considered both
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