Audit 2020 trial balance

file:///C:/Users/Akber019/AppData/Local/Temp/Temp1_Additional_Files.zip/Additional_Files/2019%2010-K.pdf

file:///C:/Users/Akber019/AppData/Local/Temp/Temp1_Additional_Files.zip/Additional_Files/2020_Apollo_Organization_Chart.pdf

file:///C:/Users/Akber019/AppData/Local/Temp/Temp1_Additional_Files.zip/Additional_Files/2020_Apollo_Shoes_Minutes.pdf

Deliverables

• Draft engagement letter
• Staffing Memo
• Review of board minutes
• Materiality Memo

1) List three relevant facts about Apollo Shoes that you think might have an impact on the financial statement audit.

2) Define what is meant by a significant account or disclosure.

3) Identify at least two significant accounts or disclosures from the financial statements of Apollo Shoes. What makes each item significant?

4) Define what is meant by a relevant assertion.

5) Identify at least one relevant assertion for each of the significant accounts or disclosures previously identified from the financial statements of Apollo Shoes. What makes each assertion relevant?

Instructions Emails A-0 Planning Audit Program A-1 PBC 2019 Trial Balance A PBC 2019 Trial Balance Apollo Shoes, Inc Trial Balance (Audited) 31-Dec-19 $1,98720 $198. 116.52 $0.00 $3.044,95813 $16.410.902.71 $1.262.819.88 $18.825.205.24 $3.012,000.00 $743,314,38 $200,000.00 57,406.82 $117.000.00 $623.905.92 $433.217.10 Single Column forma $1.987.28 $198. 116.52 $0.00 $3.064.968.13 $16.410.902.71 $1.262.819.88 $18.825 205 24 ($3,012.000.000 $743.314.30 $200,000.00 $7.406.62 $0.00 $0.00 $117.000.00 $623.905.92 $433.217.10 15163500 DO $572.691.08 $53.840.50 (54.633. 118.09 $0.00 ($29.470.32) ($1,318.69) (5583.99 (5603301) $0.00 52.815.47) $0.00 (51,318.69) (5583.99) (510,000,000.00 $163,500.00 $572,60108 $53 840.59 $4.633. 118.00 $0.00 $29.470.32 $1,318.69 $583.99 $6.033.01 $2.815.47 $1,318.69 $583.99 $10,000,000.00 $0.00 Account ID Account Description 10100 Cash on Hand 10200 Regular Checking Account 10300 Payrol Checking Account 10400 Savings Account 11000 Accounts Receivable 11500 Allowance for Doubtful Accounts 12000 Inventory - Spotlight 12300 Reserve for Inventory Obsolescence 14100 Prepaid insurance 14200 Prepaid Rent 14300 Office Supplies 14400 Notes Receivable-Current 14700 Other Current Assets 15000 Land 15100 Buildings and Land Improvements 15200 Machinery Equipment Office Furniture 17000 Acoum. Depreciation 19000 Investments 19900 Other Noncurrent Assets 20000 Accounts Payable 23100 Sales Tax Payable 23200 Wages Payable 23300 FICA Employee Withholding 23350 Medicare Withholding 23400 Federal Payroll Taxes Payable 23500 FUTA Tax Payable 23600 State Payroll Taxes Payable 23700 SUTA Tax Payable 23800 FICA Employer Withholding 23900 Medicare Employer Wholding 24100 Line of Credit 24200 Current Portion Long-Term Debt 24700 Other Current Liabilities 27000 Notes Payable-Noncurrent 39003 Common Stock 39004 Paid-in Capital 39005 Retained Earnings 40000 Sales 41000 Sales Returns 42000 Warranty Expense 45000 Income from Investments 46000 Interest income 50010 Cost of Goods Sold 57500 Freight 60000 Advertising Expense 61000 Auto Experses 62000 Research and Development 84000 Depreciation Expense 64500 Warehouse Salaries 85000 Property Tax Expense 66000 Legal and Professional Expense 67000 Bad Debt Expense 68000 Insurance Expense 70000 Maintenance Expense 70100 Uunes 70110 Phone 70120 Postal 71000 Miscellaneous Office Expense 72000 Payroll Tax Exp 73000 Pension Profit Sharing Plan Ex 74000 Rent or Lease Expense 77500 Administrative Wages Expense 78000 Interest Expense 78500 Income Tax Expense - Federal 78510 Income Tax Expense - State 80000 Loss on Legal Settlement $8.105.000.00 $7.423,000.00 $2.219.620.65 $246.172.918.44 $4,497.580.20 $1,100,281.48 $0.00 $204,302.81 $141,569,221.61 $4,302,951.46 $897140.01 $208,974.39 $31.212.334.17 $133,000.00 $4,633,383.82 $80,49532 $3.606, 133.96 $1,622,425.99 $853,942.65 $61,13604 $135,642.99 $76,373.78 $128,033.21 $17,023.27 $1,550,989.06 $3,000,000.00 $2.603,485.87 $16.875,305.98 $875,000.00 $2.365,000.00 $429,000.00 $19,172,000.00 $0.00 $0.00 $8.105.000.00 (57423.000.00) (52.219.620.65) (5246,172.918.44) $4,497.583.20 $1,100.28148 $0.00 5204,30281) $141,56922161 $4,302,951.46 $897,14001 5.208.974.39 $31.212.334.17 $133.000.00 54.633.383.82 $80.495 32 $3.605.133. $1,622,425.99 $853.942.65 $61.136.04 $135.642.99 576.373.78 $128.033.21 $17.023.27 $1,550,989.06 $3.000.000,00 $2.603.485.87 $16.875 305.98 $875.000,00 $2.365,000.00 $429,000.00 $19.172.000.00 Instructions Emails A-O Planning Audit Program A-1P PBC Apollo Shoes Inc Preclosing Trial Balance Act Description Dehit A Credit Amit Siege Column format 10100 Cash on Hand SU 5253 10200 Regular Checking Account 5557,152 SUSTIN 10300 Payroll Checking Account 10400 Savings Account $3,645,599.15 $3,645,599.15 11000 Accounts Receivable S51,515.2509 SSI SIS. 299.98 11400 Other Receivables $1,250,000.00 $1.000.00 11500 Allowance for Doubtful Accounts 51.239.00.5 (1.239.00.5) 12000 Inventory 567,724,52750 567.734.527.50 12300 Reserve for lovely Obsolescence 5846,000.00 S846.000 14100 Prepaid Insurance 53,434213.7 53.484 2017 14200 Prepaid Rent SO 14300 Omee Supplies S850.00 SR 50.00 14400 Notes Receiva-Current 50.00 14700 Other Care Asics SO 15000 Land $117.000.00 5117,000.00 15100 Buildings and Land improvements 5674.313.92 5674.31393 15200 Machinery Equipment Office Furnitu52,929,097.13 17000 Acum Depreciation S610.000.00 19000 Investments S1,99709 S1.99.30 19900 Other Noncurren An S53.540.39 S53.59 20000 Accounts Payable 51.922,095.91 CS1.922,0959) 23100 Sales Tax Payable SO 23200 Wages Payable 50.00 23300 FICA Employw Wilholding 58.43945 23390 Medicare Witholding $11.414.99 (11.41499 23400 Federal Payroll Taxes Payable SIIR.06.12 SHIKON, 12) se 23500 FUTA Tax Payable 23600 State Payroll Tanes Payable 555.105.16 155510 23700 SUTA Tax Payable 23800 FICA Employer Withholding 23900 Medicare Employer Withholding $11.414.99 24100 Lince of Credit S4.03.000.00 S. 24300 Current Portion Long-Term Debt 24700 Other Current Liabilities SO 27000 Notes Payable-Noncurrent $12.000.000,00 512.000 19003 Common Stock SX.105.000.00 39004 Paid in Capital 57.423.000,00 19005 Retained aming 5690414 40000 Sales $342.713.4528 1530) 41000 Sales Returns $11.100 2200 $11.100 230. 43000 Way 51.15184 45000 Income from 51.436,931 46000 Interest Income $131146 47000 Miscellaneous 52.166,000.00 50010 Cost of Goods Sold $190.195,645.36 SI10.195.145.26 57500 Fight 84.240.2609 S44021 0000 Advertising Expense $1.006.854.01 S1.5401 61000 Autop $210.50 52100 62000 Research and Development 553.870.44 52.44 60000 Depreciation Expone $46.000.00 64500 Warehouse Salaries 54.720,71556 54.730715.56 65000 Property Tax Exp $99,3245 66000 Legal and Professional Expe 54,913.2345 54.913.234,45 67000 led hispere SO 68000 Insurance Hispense TO Maintenance Expense $5.500 70100 sities $137.332.18 $137.3213 20110 Phone $52.599.00 70120 Postal 577,80361 $77,10361 71000 Miscellaneous Office Experie $34.9 72000 Payroll Tax Exp $1.577.KITS $1.577.8115 73000 Pension Profit Sharing Plan Ex $3,60,375.80 $3.6.0.375.50 78600 Controlliers Clearning Account $330.375.80 (5330 3750 74000 Ronto.canc Expense $1,206,574.00 $165140 77500 Administrative Wages Experte $16,197,22543 $164.197.34 TR000 Eps $2.591,736 50 $2.591,736 50 78500 Income Tax Expense Federal SR, 200,000.00 SR200,000.00 78510 Income Tax Expense Sule $3,100,000.00 53.100.000 $330.119,291.01 $330,119,291.01 Instructions Emails A-0 Planning Audit Program A-1 PBC 2019 Trial Balance A PBC 2019 Trial Balance Apollo Shoes, Inc Trial Balance (Audited) 31-Dec-19 $1,98720 $198. 116.52 $0.00 $3.044,95813 $16.410.902.71 $1.262.819.88 $18.825.205.24 $3.012,000.00 $743,314,38 $200,000.00 57,406.82 $117.000.00 $623.905.92 $433.217.10 Single Column forma $1.987.28 $198. 116.52 $0.00 $3.064.968.13 $16.410.902.71 $1.262.819.88 $18.825 205 24 ($3,012.000.000 $743.314.30 $200,000.00 $7.406.62 $0.00 $0.00 $117.000.00 $623.905.92 $433.217.10 15163500 DO $572.691.08 $53.840.50 (54.633. 118.09 $0.00 ($29.470.32) ($1,318.69) (5583.99 (5603301) $0.00 52.815.47) $0.00 (51,318.69) (5583.99) (510,000,000.00 $163,500.00 $572,60108 $53 840.59 $4.633. 118.00 $0.00 $29.470.32 $1,318.69 $583.99 $6.033.01 $2.815.47 $1,318.69 $583.99 $10,000,000.00 $0.00 Account ID Account Description 10100 Cash on Hand 10200 Regular Checking Account 10300 Payrol Checking Account 10400 Savings Account 11000 Accounts Receivable 11500 Allowance for Doubtful Accounts 12000 Inventory - Spotlight 12300 Reserve for Inventory Obsolescence 14100 Prepaid insurance 14200 Prepaid Rent 14300 Office Supplies 14400 Notes Receivable-Current 14700 Other Current Assets 15000 Land 15100 Buildings and Land Improvements 15200 Machinery Equipment Office Furniture 17000 Acoum. Depreciation 19000 Investments 19900 Other Noncurrent Assets 20000 Accounts Payable 23100 Sales Tax Payable 23200 Wages Payable 23300 FICA Employee Withholding 23350 Medicare Withholding 23400 Federal Payroll Taxes Payable 23500 FUTA Tax Payable 23600 State Payroll Taxes Payable 23700 SUTA Tax Payable 23800 FICA Employer Withholding 23900 Medicare Employer Wholding 24100 Line of Credit 24200 Current Portion Long-Term Debt 24700 Other Current Liabilities 27000 Notes Payable-Noncurrent 39003 Common Stock 39004 Paid-in Capital 39005 Retained Earnings 40000 Sales 41000 Sales Returns 42000 Warranty Expense 45000 Income from Investments 46000 Interest income 50010 Cost of Goods Sold 57500 Freight 60000 Advertising Expense 61000 Auto Experses 62000 Research and Development 84000 Depreciation Expense 64500 Warehouse Salaries 85000 Property Tax Expense 66000 Legal and Professional Expense 67000 Bad Debt Expense 68000 Insurance Expense 70000 Maintenance Expense 70100 Uunes 70110 Phone 70120 Postal 71000 Miscellaneous Office Expense 72000 Payroll Tax Exp 73000 Pension Profit Sharing Plan Ex 74000 Rent or Lease Expense 77500 Administrative Wages Expense 78000 Interest Expense 78500 Income Tax Expense - Federal 78510 Income Tax Expense - State 80000 Loss on Legal Settlement $8.105.000.00 $7.423,000.00 $2.219.620.65 $246.172.918.44 $4,497.580.20 $1,100,281.48 $0.00 $204,302.81 $141,569,221.61 $4,302,951.46 $897140.01 $208,974.39 $31.212.334.17 $133,000.00 $4,633,383.82 $80,49532 $3.606, 133.96 $1,622,425.99 $853,942.65 $61,13604 $135,642.99 $76,373.78 $128,033.21 $17,023.27 $1,550,989.06 $3,000,000.00 $2.603,485.87 $16.875,305.98 $875,000.00 $2.365,000.00 $429,000.00 $19,172,000.00 $0.00 $0.00 $8.105.000.00 (57423.000.00) (52.219.620.65) (5246,172.918.44) $4,497.583.20 $1,100.28148 $0.00 5204,30281) $141,56922161 $4,302,951.46 $897,14001 5.208.974.39 $31.212.334.17 $133.000.00 54.633.383.82 $80.495 32 $3.605.133. $1,622,425.99 $853.942.65 $61.136.04 $135.642.99 576.373.78 $128.033.21 $17.023.27 $1,550,989.06 $3.000.000,00 $2.603.485.87 $16.875 305.98 $875.000,00 $2.365,000.00 $429,000.00 $19.172.000.00 Instructions Emails A-O Planning Audit Program A-1P PBC Apollo Shoes Inc Preclosing Trial Balance Act Description Dehit A Credit Amit Siege Column format 10100 Cash on Hand SU 5253 10200 Regular Checking Account 5557,152 SUSTIN 10300 Payroll Checking Account 10400 Savings Account $3,645,599.15 $3,645,599.15 11000 Accounts Receivable S51,515.2509 SSI SIS. 299.98 11400 Other Receivables $1,250,000.00 $1.000.00 11500 Allowance for Doubtful Accounts 51.239.00.5 (1.239.00.5) 12000 Inventory 567,724,52750 567.734.527.50 12300 Reserve for lovely Obsolescence 5846,000.00 S846.000 14100 Prepaid Insurance 53,434213.7 53.484 2017 14200 Prepaid Rent SO 14300 Omee Supplies S850.00 SR 50.00 14400 Notes Receiva-Current 50.00 14700 Other Care Asics SO 15000 Land $117.000.00 5117,000.00 15100 Buildings and Land improvements 5674.313.92 5674.31393 15200 Machinery Equipment Office Furnitu52,929,097.13 17000 Acum Depreciation S610.000.00 19000 Investments S1,99709 S1.99.30 19900 Other Noncurren An S53.540.39 S53.59 20000 Accounts Payable 51.922,095.91 CS1.922,0959) 23100 Sales Tax Payable SO 23200 Wages Payable 50.00 23300 FICA Employw Wilholding 58.43945 23390 Medicare Witholding $11.414.99 (11.41499 23400 Federal Payroll Taxes Payable SIIR.06.12 SHIKON, 12) se 23500 FUTA Tax Payable 23600 State Payroll Tanes Payable 555.105.16 155510 23700 SUTA Tax Payable 23800 FICA Employer Withholding 23900 Medicare Employer Withholding $11.414.99 24100 Lince of Credit S4.03.000.00 S. 24300 Current Portion Long-Term Debt 24700 Other Current Liabilities SO 27000 Notes Payable-Noncurrent $12.000.000,00 512.000 19003 Common Stock SX.105.000.00 39004 Paid in Capital 57.423.000,00 19005 Retained aming 5690414 40000 Sales $342.713.4528 1530) 41000 Sales Returns $11.100 2200 $11.100 230. 43000 Way 51.15184 45000 Income from 51.436,931 46000 Interest Income $131146 47000 Miscellaneous 52.166,000.00 50010 Cost of Goods Sold $190.195,645.36 SI10.195.145.26 57500 Fight 84.240.2609 S44021 0000 Advertising Expense $1.006.854.01 S1.5401 61000 Autop $210.50 52100 62000 Research and Development 553.870.44 52.44 60000 Depreciation Expone $46.000.00 64500 Warehouse Salaries 54.720,71556 54.730715.56 65000 Property Tax Exp $99,3245 66000 Legal and Professional Expe 54,913.2345 54.913.234,45 67000 led hispere SO 68000 Insurance Hispense TO Maintenance Expense $5.500 70100 sities $137.332.18 $137.3213 20110 Phone $52.599.00 70120 Postal 577,80361 $77,10361 71000 Miscellaneous Office Experie $34.9 72000 Payroll Tax Exp $1.577.KITS $1.577.8115 73000 Pension Profit Sharing Plan Ex $3,60,375.80 $3.6.0.375.50 78600 Controlliers Clearning Account $330.375.80 (5330 3750 74000 Ronto.canc Expense $1,206,574.00 $165140 77500 Administrative Wages Experte $16,197,22543 $164.197.34 TR000 Eps $2.591,736 50 $2.591,736 50 78500 Income Tax Expense Federal SR, 200,000.00 SR200,000.00 78510 Income Tax Expense Sule $3,100,000.00 53.100.000 $330.119,291.01 $330,119,291.01