Hello,

I need someone who can paraphrase 1 page long. The paraphrase should be appropriate and give me same meaning. I don't care to change the arrangement of sentence. I hope who make this paraphrase to understand Auditing very well. I will not accept the file unless meet the requirment.

I attached the file for you and I highlighted the answer which should be paraphrased by you. Also, you don't need to paraphrase the question but i put it in case you need to quote.

Thanks

1. For the past five years, Clark CPAs has audited the financial statements of a manufacturing company. During this period, the audit scope was limited by the client as to the observation of the annual physical inventory. Because Clark CPAs considers the inventories to be material and was not able to satisfy the audit requirements by using other auditing procedures, the firm was unable to express an unmodified opinion on the financial statements in each of the five years. The CPA was allowed to observe physical inventories for the current year ended December 31, 2015, because the client's bank would no longer accept the audit reports. However, to minimize audit fees, the client requested that the CPA not extend audit procedures to the inventory as of the beginning of the year, January 1, 2015. Which type of audit report would you suggest be issued this year and why? The scope of the audit has been restricted by inability to assess the inventory. Based on the information, this appears to be highly material or material, depending upon the auditor's preliminary judgment about materiality. Because the auditor was unable to obtain sufficient appropriate evidence on the beginning inventories, it would be necessary to issue either a qualified or disclaimer of opinion on the income statement and statement of cash flows as well as the beginning of the year balance sheet. The choice of a qualified or disclaimer opinion would depend upon materiality. If highly material, then a disclaimer is the best choice. If material, then a qualified scope and opinion might be more appropriate. An unqualified opinion could be issued for the current period balance sheet. 2.Following are two independent situations. A. Grinner and Greeter, CPAs, were engaged to perform an audit of the financial statements of Happy, Inc. Happy's management would not allow Grinner and Greeter to confirm any of the accounts receivable. All other auditing procedures were performed as considered necessary by Grinner and Greeter and no issues were encountered. However, Grinner and Greeter were unable to satisfy themselves with regard to the balance in accounts receivable. B. Tick and Tie, CPAs, were performing their annual audit of Johnson Manufacturing Company. Johnson is currently being sued for $2,000,000 related to an alleged defective product that they sold to a customer. Johnson's legal counsel has told Tick and Tie that it is probable that Johnson will lose the suit and have to pay the entire $2,000,000. Johnson's management has included information in the footnotes about the lawsuit. However, they have not recorded any loss or liability in the income statement or balance sheet. Required: For each of the two independent situations, state what type of opinion should be issued on the company's financial statements. Briefly explain your rationale. Finally, state which paragraphs, if any, of the standard report would be modified A. The company has imposed a scope limitation on Grinner and Greeter. Although it is possible to issue a qualified opinion for a less material scope limitation, disclaimers of opinion are more appropriately issued for client-imposed scope limitations than for circumstance-imposed scope limitations. For the disclaimer of opinion, (1) the introductory paragraph would be modified to state that auditors were engaged to audit the financial statements and delete the sentence referring to the auditors' responsibility for the financial statements, (2) the scope paragraph would be omitted, (3) an additional paragraph would be added to describe the scope limitation, and, (4) the opinion paragraph would be modified to express a disclaimer of opinion. B. Because Johnson Manufacturing has not properly recorded a loss and a liability, the financial statements are not in conformity with generally accepted accounting principles. Therefore, depending on the overall materiality and pervasiveness of the misstatement, Tick and Tie should issue either a qualified or adverse opinion. In each case, a third paragraph would be added to the report to explain the departure from GAAP and the opinion paragraph would be modified to express either a qualified opinion or an adverse opinion