Week 5 Assignment What is the correct relationship of internal audit to senior management? The correct relationship to exist between internal auditors to senior management is one that meets the risk areas as defined by importance to senior management; this includes assurance and consultative reporting result. The same premise is also true for creating a correct relationship with operational management and the audit committee; under these cases‚ operational management desires consultative results
Premium Auditing Internal control Internal audit
1Chapter 26 Internal and Governmental Financial Auditing and Operational Auditing Review Questions 26-1 Internal auditors who perform financial auditing are responsible for evaluating whether their company’s internal controls are designed and operating effectively and whether the financial statements are fairly presented. This responsibility is essentially the same as the responsibility of external auditors who perform financial audits. The two types of auditors are also similar in that
Premium Auditing Internal audit Financial audit
Page 1 of 7 CPA REVIEW SCHOOL OF THE PHILIPPINES Manila AUDITING THEORY Professional Accounting Practice Related PSA : Preface to PSA and Related Services 1. The following statements relate to the accounting profession: I. To merit public trust and confidence‚ the professional person must convince the public that he will place public service ahead of personal reward. II. A CPA certificate is evidence of basic competence in the discipline of accounting at the time the certificate
Premium Certified Public Accountant Audit Accountant
Include consideration of reasons both for and against acceptance and be sure to address both financial and nonfinancial issues to justify your recommendation. MEMORANDUM To: Jane Hunter From: Corrine Subject: Ocean Manufactory Should be Accepted Date: February 3‚ 2012 Ocean Manufacturing‚ a medium-sized manufacturer of small home appliances‚ is our prospective client. First‚ we should decide whether to accept this client. The purpose is to minimize the likelihood that our auditors
Premium Audit Management Balance sheet
any audit? Explain clearly 4) What is professional clearance? What is the importance of professional clearance in auditing? 5) An audit fee is an auditor’s remuneration. In what ways can the aspect of audit fees affect auditors’ independence? 6) Explain clearly the ethical codes that are required of any professional auditor? 7) Audit planning is an important input in the auditing assignment‚ discuss. 8) Assume you are an experienced auditor with an audit firm in Dar. Your senior has requested
Premium Audit Auditing Internal control
Does Auditing Matter? Janice Rhodora P. Carpentero La Salle University and Eljoy Delos Santos La Salle University May 22‚ 2013 Does Auditing Matter? SUMMARY: The scrutiny auditing has received post-Enron provides compelling evidence that auditing does matter‚ to answer the rhetorical question posed by the paper’s title. What is unclear‚ however‚ is whether auditing was sufficiently “broken” in the first place to warrant the radical reforms and changes effected
Premium Auditing Audit Auditor's report
primary disadvantage of the corporate form is the double taxation to shareholders of distributed earnings and dividends. Advantages include: limited liability; ability to raise capital; and unlimited life 【Agency Problem】 Who owns a corporation? Describe the process whereby the owners control the firm’s management. What is the main reason that an agency relationship exists in the corporate form of organization? In this context‚ what kinds of problems can arise? Answer: In the corporate form of
Premium Generally Accepted Accounting Principles Depreciation Balance sheet
AUDITING 4 INTERNAL CONTROL In business control is required for optimum utilizatiion of resources and for maximising the profits.business operations are carried on with the help of human agents and equipments.both require supervision to ensure that tasks assigned to them are carried out properly to avoid wastes and losses. Internal control required for small business is not identical with that required for a large business in the sense that in case of the former‚the entire control
Premium Internal control Internal audit Auditing
Caledonia Products Integrative Problem Ramona Beaton‚ Vanessa Hall Fin/370 March 1‚ 2012 Farookh Syed Caledonia Products Integrative Problem Why should Caledonia focus on project free cash flows as opposed to the accounting profits earned by the project when analyzing whether to undertake the project? Ans: When analyzing whether to undertake a project‚ Caledonia needs to focus on free cash flows opposed to the accounting profits because free cash flows is revenue that can be used or reinvested
Premium Generally Accepted Accounting Principles Depreciation Free cash flow
Chapter 12 : 1/ As part of the initial investment ‚ a partner contributes office equipment that had cost $20‚000 and on which accumulated depreciation of $ 12500 had been recorded . If the partners agree on a valuation of $ 9000 for the equipment ‚ what amount should be debited to the office equipment account? a/ 7500 c/ 12500 b/ 9000 d/ 20000 2/ Chip and Dale agree to form a partnership. Chip is to contribute $50000 in assets
Premium Generally Accepted Accounting Principles Balance sheet Income statement