If the auditors was appointed on January 3, 2017, the date of the financial statements is December 31, 2017, the date of the audit report is February 7, 2018, and the audit report release date is February 10, 2018, what is the appropriate date of the management written representation letter? O January 3, 2017 O December 31, 2017 O February 7, 2018 O February 10, 2018

If the auditors was appointed on January 3, 2017, the date of the financial statements is December 31, 2017, the date of the audit report is February 7, 2018, and the audit report release date is February 10, 2018, what is the appropriate date of the management written representation letter? O January 3, 2017 O December 31, 2017 O February 7, 2018 O February 10, 2018

Auditing: A Risk Based-Approach to Conducting a Quality Audit

10th Edition

ISBN:9781305080577

Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Chapter17: Other Services Provided By Audit Firms

Section: Chapter Questions

Problem 5TFQ

See similar textbooks

Similar questions

Review the following independent auditors’ report: To the Board of Directors and Shareholders Company XYZ "We have audited the accompanying balance sheets of XYZ Company as of December 31,2020, 2019 and 2018, and the related statements of income, retained earnings, and cash flowsfor the years then ended. These financial statements are the responsibility of the Company’smanagement. Our responsibility is to express an opinion on these financial statements basedon our audits. We conducted our audits in accordance with auditing standards generallyaccepted in the Caribbean. Those standards require that we plan and perform the audit toobtain reasonable assurance about whether the financial statements are free of materialmisstatement.An audit includes examining, on test basis, evidence supporting the amounts and disclosuresin the financial statements. An audit also includes assessing the accounting principles usedand significant estimates made by management, as well as evaluating the overall…
Review the following independent auditors’ report: To the Board of Directors and Shareholders Company XYZ "We have audited the accompanying balance sheets of XYZ Company as of December 31,2020, 2019 and 2018, and the related statements of income, retained earnings, and cash flowsfor the years then ended. These financial statements are the responsibility of the Company’smanagement. Our responsibility is to express an opinion on these financial statements basedon our audits. We conducted our audits in accordance with auditing standards generallyaccepted in the Caribbean. Those standards require that we plan and perform the audit toobtain reasonable assurance about whether the financial statements are free of materialmisstatement.An audit includes examining, on test basis, evidence supporting the amounts and disclosuresin the financial statements. An audit also includes assessing the accounting principles usedand significant estimates made by management, as well as evaluating the overall…
The fieldwork for the December 31, 2018 audit of Schmidt Corporation ended on March 17, 2019. The financialstatements and auditor's report were issued on March 29, 2019. In each of the material situations (1 through 5)below, indicate the appropriate action (a, b, c). The possible actions are as followsa. Adjust the December 31, 2018 financial statements.b. Disclose the information in a footnote in the December 31, 2018 financial statements.c. No action is required.The situations are as follows:________ 1. On March 1, 2019, one of Schmidt Corporation's major customers declared bankruptcy. The customer'sfinancial condition in 2018 was deteriorating and they owed Schmidt Corporation a large sum of money as of thebalance sheet date.________ 2. On February 17, 2019, Schmidt Corporation sold some machinery for its book value.________ 3. On February 20, 2019 a flood destroyed the entire uninsured inventory in one of Schmidt'swarehouses.________ 4. On January 5, 2019, there was a significant…
An auditor’s permanent file audit documentation most likely will containa. Internal control analysis for the current year.b. The most recent engagement letter.c. Memoranda of conference with management.d. Excerpts of the corporate charter and bylaws.
Audit and Assurance - Effects of post-balance sheet events 8. Your firm is auditing the financial statement of ABCD Sdn Bhd for the year ended 30 September 2021. The plan is to complete the field work and sign the auditor report on 3o November 2021. You are asked to determine whether any events and transactions have occurred after 30 September 2021 that may affect the 2021 financial statements. Required: Identify the general types of subsequent events would require your consideration and evaluation. Discuss auditing procedures should you consider performing to gather evidence concerning subsequent event.
You are auditing the December 31, 2021, accounts payable balance of one of your firm's divisions. The division controller's office has provided you with a schedule listing the creditors and the amount owed to each at December 31, 2021, Which of the following audit procedures would be your best choice for determining that no Individual account payable has been omitted from the schedule? A. Send confirmation requests to a randomly selected sample of creditors listed on the schedule B. Send confirmation requests to creditors that are listed on the schedule but not listed on the corresponding December 31, 2020, schedule. C. Examine support for selected 2022 payments to creditors, ascertaining that those relating to 2021 are on this schedule. D. Examine support for selected 2022 payments to creditors, ascertaining that those relating to 2022 are not on the schedule.
Which of the following is correct about assembling the audit documentation in an audit file? O a. Assembling the final audit plan on a timely basis after the date of the financial year ended O b. Assembling the final audit program on annually basis before the date of the auditor's report O C. Assembling the final audit file on a timely basis after the date of the auditor's report O d. Assembling the final audit file on a quarterly basis before audit procedures performed
10 The auditor's formal review of subsequent events normally should be extended through the date of the Group of answer choices auditor's report. next formal interim financial statements. delivery of the audit report to the client. mailing of the financial statements to the stockholders.
An auditor issues a report dated 2/12/Year 2 on financial statements for the year ended 12/31/Year 1. Which best describes the auditor's responsibility for an event occurring on 2/1/Year 2 and an event occurring on 3/1/Year 27 A. The auditor has an active responsibility to investigate both events. B. The auditor has an active responsibility to investigate the 2/1/Year 2 event, but no responsibility concerning the 3/1/Year 2 event. C. The auditor has an active responsibility to investigate the 2/1/Year 2 event, and must also consider the effect of the 3/1/Year 2 event if it comes to his/her attention. D. The auditor has no responsibility for either event, since both occur after the date of the financial statements.
Key note from review of director meeting minutes: The chairman observed that in recent months there has been in an increase in customers returning goods under the warranty provided. He observed that the task of determining the appropriate warranty liability at 30 June 2019 is likely to be more difficult and a material balance. Explain what audit significance this matter would have and explain two actions they should take:
On March 5, 2018, ZELDA CORP completed the draft audited financial report for the financial year 2017. The draft financial report was reviewed by the board of directors on March 10, 2018 and discussed with the external auditor on March 12, 2018. The independent auditor's report was published on March 14, 2018. On March 15, 2018, the audited financial statements were authorized to be published by the board of directors. On March 17, 2018, ZELDA CORP announced its financial performance in electronic media. Meanwhile, the audited financial report will be available for shareholders on March 19, 2018. Requested: Specify a period of time included in the event after the reporting period.
You are now nearing the completion of the audit of Rooney Co Ltd for the year ended 31 December 2020. Draft financial statements have been produced. You have been given the responsibility of performing of a review of the audit files before they are passed to audit manager and the audit partner for their review. You have been asked to concentrate on the sources of the evidence obtained. While reviewing the working papers you noted that your junior officers have recorded the following sources of evidence:(i) Oral representation by management in respect of the completeness of sales where the majority of transactions are conducted on a cash basis.(ii) Year-end suppliers' statements (iii) Physical inspection of a non-current asset by an auditor One of your responsibilities is to act as a mentor to junior officers into the department Required : ISA 500 Paragraph 4 states that ‘’The objective of the auditor is to design and perform audit procedures in such a way as to enable the auditor to…