Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Please help me with these questions. a. 23. An auditor's report on financial statements prepared in accordance with generally accepted accounting principles should include all
Please help me with these questions.
a. 23. An auditor's report on financial statements prepared in accordance with generally accepted accounting principles should include all of the following except: an opinion as to whether the basis of accounting used is appropriate under the circumstances. b. an opinion as to whether the financial statements could be presented fairly in conformity with the other basis of accounting reference to the note to the financial statements that describes the basis of presentation as GAAP. d. a statement that the basis of presentation is a basis of accounting other than generally accepted accounting principles if management wants to do it c. a. 24. Which of the following risks is related to effectiveness of testing performed by the auditor? The risk of incorrect calculations. b. Inherent risk. The risk of incorrect acceptance. d. None of these. c. 25. The basic concept of internal control that recognizes the cost of internal control should not exceed the benefits expected to be derived is known as a. Reasonable assurance. b. Management responsibility. Limited liability. d. Management by exception. c. Short Answer questions. Answer all questions in 2-3 full sentences and write your answer as clearly and concisely as possible. Question #1: In the Molex case, where there was an issue around the lack of information on the representation letter that was deemed to be unacceptable by the external auditors. This situation caused the external auditors to be removed and the CEO and CFO to be replaced. Please answer the following two (3) questions: 1. Why is it important for management to include all relevant accounting, control, and other significant business matters in the representation letter? 2. Why is the representation letter important confirmation audit evidence for the external auditors to use in their final evaluation of the audit? 3. Based on your understanding of the case and review of class materials, what would be your professional auditor conclusion if you believed that the representation letter was not complete or factually accurateStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started