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Same problem but missing part III to finsihed it . I cant figure out how to calcukate tolerable kistatement. 7 EXHIBITS close a exhibit Income
Same problem but missing part III to finsihed it
I cant figure out how to calcukate tolerable kistatement.
EXHIBITS
close a
exhibit
Income Statement
Balance Sheet
ExcerptAuditor's Guidance
Company and Industry Information
Qualitative Analysis
Scroll down to complete all parts of this task.
Consolidated Construction Inc., an issuer, is a construction company with annual revenues of $ million. As the audit senior engaged on Consolidated Construction's Year financial audit, you have been asked to calculate materiality as the engagement team plans the audit.
Using the exhibits, perform a quantitative analysis, perform a qualitative analysis, and determine the tolerable misstatement. In Part determine overall materiality. In column B calculate and enter the current ratio rounded to two decimal places. In column C select the calculation approach the auditor should use. In column D calculate and enter audit materiality. In Part II perform a qualitative analysis and identify areas of qualitative concern for the Year audit. There are four areas of qualititative concern. In column B select an area from the options provided for each line. An option may be selected only once. In Part III, column B calculate and enter the tolerable misstatement and the allowable audit misstatement for select account balances identified in column A Enter amounts in whole dollars.
Part I: Quantitative Analysis
tableABCDQuantitative Analysis,Current Ratio,Approach,Overall MaterialityOverall materiality,Income before taxes,$
Part II: Qualitative Analysis
tableABtableHigh turnover of seniormananamont or kav
EXHIBITS
Income Statement
Balance Sheet
ExcerptAuditor's Guidance
Company and Industry Information
Qualitative Analysis
Part II: Qualitative Analysis
tableABQualitative concern tableHigh turnover of seniormanagement or keyaccounting or financialreporting personnelQualitative concern History of misstatementsQualitative concern History of misstatementsQualitative concern tableIncreased issues needingsignificant judgment orestimates with highestimation uncertainty
Part III: Tolerable Misstatement and Specific Account Balance Materiality for Year
tableABTolerable misstatement,tableSpecific account: Accountreceivable$
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