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The CPA firm of Garza Jones CPAs just got a new client ; ABC Retail Company. This company is a local store and doing great

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The CPA firm of Garza Jones CPAs just got a new client ; ABC Retail Company. This company is a local store and doing great sales. Joe Perez, is a CPA for Garza Jones CPA firm and has been assigned to audit ABC. Mr. Larry Thompson is the single owner/manager for ABC and makes all major decisions. At his first visit to ABC, Joe is introduced to Sandy, the part time accountant who is also a full time accounting student at a local college. Sandy becomes comfortable with Joe and one day describes a situation that has been on her mind for some time now. Sandy's concern has to do with sales revenues. When monies from sales are counted and deposited every week, a chart is filled out where employees need to put the category of payment; cash, check, American Express, or Visa card. Mr. Thompson goes and deposits all the money in the bank on a weekly basis and brings back the chart showing how much money was actually deposited. After reviewing the chart for a few weeks, Sandy notices that Mr Thompson is not depositing all the cash in the bank. For the entire year Sandy discovers that Mr Thompson did not report close to $10,000 of cash sales in his tax return. Mr Thompson is the only one that makes deposits in the bank. When Sandy asked Mr. Thompson about cash revenues not being deposited and missing in his tax return, he assures her that every dollar is being reported. Mr Thompson also tells Sandy that she is not in charge of tax returns and that "she should not be concerned". week, a chart is filled out where employees need to put the category of payment; cash, check, American Express, or Visa card. Mr. Thompson goes and deposits all the money in the bank on a weekly basis and brings back the chart showing how much money was actually deposited. After reviewing the chart for a few weeks, Sandy notices that Mr Thompson is not depositing all the cash in the bank. For the entire year Sandy discovers that Mr Thompson did not report close to $10,000 of cash sales in his tax return. Mr Thompson is the only one that makes deposits in the bank. When Sandy asked Mr. Thompson about cash revenues not being deposited and missing in his tax return, he assures her that every dollar is being reported. Mr Thompson also tells Sandy that she is not in charge of tax returns and that "she should not be concerned". Please analyze this case. Describe all the responsibilities for all parties involved...Joe, Sandy, Mr. Thompson, and Garza Jones CPAS

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