1. You have been assigned as an Audit Trainee of Regional Audit Firm. The firm specializes...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
1. You have been assigned as an Audit Trainee of Regional Audit Firm. The firm specializes in auditing Auto Mechanic Stores like Good Year, Bohn Auto Repair Shop or Fire Stone Stores. Required: Develop an Audit Program to confirm or refute the assertion that a Good Year Store on Lapalco has an inventory of Good Year Tires of $2,000,000 in its 2021 year-end financial statement. The Store has four employees and owner-manager, The employees consist of: a mechanic, storekeeper, Oil changer and tire changer and an Office Assistant to the Manager. a. List the steps you will take in examining the assertion. b. Why is an audit program necessary for conducting an audit? 1. You have been assigned as an Audit Trainee of Regional Audit Firm. The firm specializes in auditing Auto Mechanic Stores like Good Year, Bohn Auto Repair Shop or Fire Stone Stores. Required: Develop an Audit Program to confirm or refute the assertion that a Good Year Store on Lapalco has an inventory of Good Year Tires of $2,000,000 in its 2021 year-end financial statement. The Store has four employees and owner-manager, The employees consist of: a mechanic, storekeeper, Oil changer and tire changer and an Office Assistant to the Manager. a. List the steps you will take in examining the assertion. b. Why is an audit program necessary for conducting an audit?
Expert Answer:
Answer rating: 100% (QA)
a There are 6 steps in assertion they are 1 existence to find whether asset and liabilty exists or n... View the full answer
Related Book For
Auditing a business risk appraoch
ISBN: 978-0324375589
6th Edition
Authors: larry e. rittenberg, bradley j. schwieger, karla m. johnston
Posted Date:
Students also viewed these accounting questions
-
As part of an audit engagement, you have been assigned the task of documenting the internal control system for the Brown Sole Shoe Store. The business is operated by a single owner, who operates the...
-
As auditor for Checkem & Associates, you have been assigned to review Tao Corporation's calculation of earnings per share for the current year. The controller, Mac Taylor, has supplied you with the...
-
You have been assigned to evaluate General Motors external environment using Porter's Five Forces Model. You will have to complete a bit of research to determine General Motors current state as well...
-
=) An alternating emf of peak-to-peak value of 40 V is applied across the series combination of an inductor of inductance 100 mH, capacitor of capacitance 1 F and resistance 10052. Determine maximum...
-
1. Prepare a list showing all tasks and their durations. 2. Analyze the fact situation carefully to determine which tasks are concurrent and which ones are dependant on other tasks. 3. Using PERT/CPM...
-
Explain the concept of the time value of money.
-
In Figure 12.25, Graph \(G\) is given, along with four diagrams. Determine whether each diagram is or is not a subgraph of Graph \(G\) and explain why. b C Graph G e Diagram/ C Diagram K C b Diagram...
-
Irons Incorporated entered into the following stock transactions: Apr. 5 Issued 30,000 shares of $3 par value common stock for $180,000. May 31 Purchased 1,000 shares of treasury stock for $50,000....
-
Saxon Products, Incorporated, is investigating the purchase of a robot for use on the company s assembly line. Selected data relating to the robot are provided below: Cost of the robot $ 2 , 0 0 0 ,...
-
Cary Company manufactures two models of industrial componentsa Standard model and an Advanced Model. It has provided the following information with respect to these two products: Standard Advanced...
-
how can youn help you team build confidence and capabilities through coaching ?A) Motivate them by pointing out the value in their work. B) Support them by acting as an accessible resource. C) Assist
-
Review consumer rights and protections. a recent or current event in which a business or government failed to protect consumers. What were the failures? Who were the victims? What can or could be...
-
Stark Industries is considering adding a vibranium shield to the Iron Man Suits the company manufactures for the U.S. Armed Forces. The equipment to build the shields has a purchase price of...
-
The New York City Marathon is a highly selective race. One way to gain entry into the race is to qualify based on a time from a prior-completed marathon. The NYC Marathon's organizers use this method...
-
There are four areas in the Balanced Scorecard: Financial Perspective Customer Perspective Internal Business Perspective Innovation and Learning Perspective Please provide perspective for each....
-
WHAT DID YOU LEARN FOR CHAPTER 12 - ACCOUNTING INFORMATION SYSTEMS CHAPTER 12 : The first step to protect confidentiality and privacy is to identify where such information resides and who has...
-
Action taken by supervisors prior to any infraction and that is designed to encourage employees to follow the rules is called:a.preventive disciplineb.advisory disciplinec.progressive disciplined.corr
-
Which of the following streaming TV devices does not involve use of a remote controller? A) Google Chromecast B) Apple TV C) Amazon Fire TV D) Roku
-
What is the role of internal audit in assisting management in preparing its report on the effectiveness of internal control over financial reporting? Is internal audit considered to be independent of...
-
What are the advantages and disadvantages of performing direct tests of account balances prior to the balance sheet date?
-
One way that the auditor might achieve audit efficiency is to recognize the interrelationship between accounts. In many situations, evidence gathered in auditing a balance sheet account (asset,...
-
When a product's cost is composed of both fixed and variable costs, what effect does the increase or decrease in production have on total unit cost?
-
Teague Corporation has the following long-term investments: 1. 60 percent of the common stock of Ariel Corporation 2. 13 percent of the common stock of Copper, Inc. 3. 50 percent of the nonvoting...
-
The stockholders equity section of Caritas Corporations balance sheet appeared as follows on December 31: Swanson Manufacturing Company owns 80 percent of Caritass voting stock and paid $11.20 per...
Study smarter with the SolutionInn App