For part 2 the four answer choices for each event are: Recognized subsequent event, Non-recognized subsequent event (no footnote disclosure), Non-recognized subsequent event (footnote disclosure), and Not a subsequent event.

*For part 2 event 4 about inventory it has occurred in year 1.

For part 3 the three answer choices are: Use the date of the original audit report, Dual date the report to address the event, and Either dual date OR use the date of the original audit report.

Scroll down to complete all parts of this task. Cosenzo LLP is auditing the Year 1 financial records of Pecoraro LLC, a publicly traded manufacturing company. Pecoraro has a December 31 year-end. Cosenzo performed their year-end audit during January and February of Year 2. The financial statements were issued on March 15, Year 2, the date of audit report. Put a check next to the subsequent event audit procedure(s) that Cosenzo should perform during the audit. Review of post balance transactions Perform a search for unrecorded liabilities Review client bank reconciliations Review management representation letter Make inquiries of management regarding any unusual adjustments that may have been made in the month of January an February, Year 2 Review of the minutes of a stockholders meeting that took place on January 10 , Year 2 Perform inventory test counts Examine the latest interim financial statements Review cash disbursement procedures for proper segregation of duties PART II For each of the events listed below, select the classification of the event from the option list. Scroll down to complete all parts of this task. Cosenzo LLP is auditing the Year 1 financial records of Pecoraro LLC, a publicly traded manufacturing company. Pecoraro has a December 31 year-end. Cosenzo performed their year-end audit during January and February of Year 2. The financial statements were issued on March 15, Year 2, the date of audit report. Put a check next to the subsequent event audit procedure(s) that Cosenzo should perform during the audit. Review of post balance transactions Perform a search for unrecorded liabilities Review client bank reconciliations Review management representation letter Make inquiries of management regarding any unusual adjustments that may have been made in the month of January an February, Year 2 Review of the minutes of a stockholders meeting that took place on January 10 , Year 2 Perform inventory test counts Examine the latest interim financial statements Review cash disbursement procedures for proper segregation of duties PART II For each of the events listed below, select the classification of the event from the option list