Independent Auditing Firm's Report

To the Controller ofE-Z Manufacturing, Inc.

Opinion on the Financial Statements

We have audited the accompanying consolidated balance sheets of E-Z Manufacturing, Inc. (the Company) as of December 31, 202X and 202W, and the related consolidated statements of income, comprehensive income, shareholders' equity and cash flows for each of the three fiscal years in the period ended December 31, 202X, and the related notes (collectively referred to as the "financial statements"). In our opinion, the financial statements present fairly, in all material respects, the consolidated financial position of the Company at December 31, 202X and 202W, and the consolidated results of its operations and its cash flows for each of the three years in the period ended December 31, 202X, in conformity with U.S. generally accepted accounting principles.

We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the Company's internal control over financial reporting as of December 31, 202X, based on criteria established in Internal Control-Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (2013 Framework) and our report dated March 7, 202Y expressed an adverse opinion thereon.

Basis for Opinion

These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these financial statements based on our audits. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

Critical Audit Matters

Critical audit matters are matters arising from the current period audit of the financial statements that were communicated or required to be communicated to the audit committee and that: (1) relate to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. We determined that there are no critical audit matters.

/s/ Bob Smith, E-Z Manufacturing, Inc.

We have served as the Company's auditor since 202X.

College Park, Maryland

March 23, 202Y

Facts:Mary, Land & Terrapin, CPA's, were engaged by the board of directors of E-Z Manufacturing, Inc. (an issuer) with no subsidiaries to audit E-Z Manufacturing's calendar year 202X financial statements released and disseminated on March 23, 202Y.The above initial report was drafted by a staff accountant at the completion of the engagement.It was submitted to Bob Smith, the Mary, Land & Terrapin audit partner with client responsibility over the E-Z Manufacturing engagement, for review on March 7, 202Y, the date of completion of audit field work.Smith has reviewed matters and properly concluded that a qualified opinion was appropriate due to the lack of required segment information disclosure.Smith also became aware on March 31, 202Y of a significant and material March 26, 202Y subsequent event which the client has not disclosed in the notes to the final set of financial statements released.Smith is satisfied that the auditing procedures performed by Smith's firm related to this subsequent event were appropriate given the circumstances. The financial statements of E-Z Manufacturing for the calendar year 202V and 202W were examined by predecessor auditors who properly expressed unqualified opinions and properly reissued their audit reports separately upon agreement of all parties. The balance sheets for 202W and 202X are presented in comparative form as are the other financial statements from 202V, 202W and 202X. Mary, Land & Terrapin, CPA's properly issued a separate unqualified opinion on internal controls for the year 202X, as did the predecessor auditor for 202V and 202W. The audit team of Bob Smith did not really investigate whether there were any critical audit matters, but assumed that since they were not any mentioned in the audit reports of the predecessor auditor that there would not be any now.

Instructions:Though you may assume the information contained within the initial report above is correct, the initial report submitted by the staff accountant for Smith's review had many deficiencies.You must identify the deficiencies contained in the auditor's report above as well as indicate which paragraphs/sections contain the deficiencies.You will indicate a deficiency by placing a red circle (see to left), and pasting it over a letter corresponding to a deficiency within a given paragraph (I must see the underlying letter).Below is a list of potential deficiencies that also includes all the actual deficiencies in the report above.For example, if the report was not signed then you would select the line, "Report not or incorrectly signed" and circle the letter N (since signatures are not part of a regular paragraph).Problems with paragraph headings will be considered problems of the same paragraph/section that the heading pertains. Some deficiencies may have more than one paragraph circled on the same line. The paragraph abbreviations, as they wereidentified in lecture notes, are:O - opinion paragraph, I - introductory paragraph, X - cross reference paragraph, M - management's responsibility paragraph, S - auditor's responsibility paragraph(s), B - Basis of Opinion paragraphs(s), E - explanatory, emphasis-of-matter or other paragraph(s), C - for CAM paragraph(s), and N - deficiency is not in a paragraph but in the report heading, salutation, or closing items (e.g., signatures).These letters (O, I, X, M, S, B, E, C, or N) are the ones you must circle. BOLDING will occur on every fifth line which is only done to make sure you can match letters to the correct deficiency line (i.e., so you don't accidentally select the wrong line for circling).

You are to select THIRTEEN deficiencies(ONLYTHIRTEEN!) as well as indicate which paragraph/section contains the deficiency by circling the paragraph/section letter on the line containing the deficiency.You must circle no more thanTHIRTEENletters for the entire problem.If you circle more thanTHIRTEENletters you will haveONEpoint taken off for each additional letter circled.You will receiveONEpoint for each correctly circled answer.

Management responsibility for financial statements should not be statedO......I.......X.......M.....S.......B.......E.......C.......N

Report not or incorrectly signedO......I.......X.......M.....S.......B.......E.......C.......N

No mention of full disclosure is madeO......I.......X.......M.....S.......B.......E.......C.......N

Reference to note should be in separate paragraphO......I.......X.......M.....S.......B.......E.......C.......N

Test basis should not be mentionedO......I.......X......M.....S.......B......E.......C.......N

Improper or missing dual datingO......I.......X.......M.....S.......B.......E.......C.......N

Improper or missing reference to audit report on internal controlsO......I.......X.......M.....S.......B.......E.......C.......N

Report is addressed to the improper partyO......I.......X.......M.....S.......B.......E.......C.......N

Improper or missing reference to predecessor auditorsO......I.......X.......M.....S.......B.......E.......C.......N

Improper or missing reference to GAASO..I..X..M..S..B..E..C..N

Improper or missing reference to GAAP O..I..X..M..S...B..E..C..N

Improper or missing reference to materialityO......I.......X.......M.....S.......B.......E.......C.......N

Improper or missing explanatory paragraphO......I.......X.......M.....S.......B.......E.......C.......N

Improper or missing responsibility of auditorO......I.......X.......M.....S.......B.......E.......C.......N

Should omit free from misstatementO......I.......X......M.....S.......B......E.......C.......N

Improper or missing report titleO......I.......X.......M.....S.......B.......E.......C.......N

Evaluation of overall balance sheet presentation is missingO......I.......X.......M.....S.......B.......E.......C.......N

Improper or missing reference to adverse or qualified opinionO......I.......X.......M.....S.......B.......E.......C.......N

Specific financial statements are not mentionedO......I.......X.......M.....S.......B.......E.......C.......N

Wrong opinion was givenO......I.......X......M.....S.......B......E.......C.......N

Improper or missing reference to prior yearsO......I.......X.......M.....S.......B.......E.......C.......N

Improper or missing reference to consistencyO......I.......X.......M.....S.......B.......E.......C.......N

Dollar effect not providedO......I.......X.......M.....S.......B.......E.......C.......N

Improper or missing paragraph headingsO......I.......X.......M.....S.......B.......E.......C.......N

Reference to GAAS standards should be madeO......I.......X......M.....S.......B......E.......C.......N

Improper or missing determination of CAMO......I.......X.......M.....S.......B.......E.......C.......N

Improper or missing reference to consolidationO......I.......X.......M.....S.......B.......E.......C.......N

Improper or missing reference to subsequent eventO......I.......X.......M.....S.......B.......E.......C.......N

Improper or missing audit report dateO......I.......X.......M.....S.......B.......E.......C.......N

Improper or missing pluralization in audit reportO..I..X..M..S..B..E..C..N