For this year’s spring break trip, I will be preparing to travel to Satellite Beach, Florida to visit my aunt, uncle and cousins. I will be staying in Florida for the entire spring break and have many activities scheduled and planned such as going to the beach, a snorkeling excursion trip as well as going out to eat at one of the best seafood restaurants in the area. Prior to flying to Florida for this trip, there are many risks that can be associated with this trip as well as with the activities that I have planned in advance for the week. The first thing that has to be accomplished in preparing for my spring break trip to Florida is the purchasing of a ticket from Cincinnati to Florida for the week. When buying a plane ticket for the trip, there are a number of different risks that need to be addressed and thought about, in regards, to making the correct choice in handling the situations. Since our spring break is the beginning of March and around this time it is still relatively cold, there is a risk on the day of departure from Cincinnati to Florida that the weather could potentially be bad and prevent me from going to Florida. After identifying this risk to the trip, one way to mitigate the risk of this situation is when I go to buy my plane ticket for the trip, it might be necessary to pay the extra dollar amount to receive the insurance aspect for this trip so that in case of bad weather or other unforeseen circumstance, I will still be able to leave Cincinnati and get to Florida as soon as possible. This insurance policy would allow me to be able to go on the trip and allow me to have an idea of what to expect and the procedures necessary to go about handling this situation if my flight were to be delayed or cancelled. Also, another risk that I would need to be prepared for is when boarding the plane with any type of carry on luggage, it will be necessary to know whether or not the plane is big enough for me to bring my bag on or if it will have to be checked at the gate. If the bag has to be checked, there is always a risk that the people working could potentially put the bag onto the storage of another plane, so to mitigate this risk, I could either potentially try and bring my bag onto the plane and find a way for it to fit under my seat or above in the overhang compartment or tell and make sure the airline employee takes my bag and puts it in the right area for the bags that have to go on the plane I will be flying on. One of the few things I plan and schedule doing when in Florida is planning a day or two to just to relax and have a good time at the beach. With the weather usually pretty nice most of the time, there is little to worry about in regards to preventing me from going to the beach. However, there is one thing that always worries me and that is getting sunburn since I tend to burn when outside for long periods of time. To reduce any kind of risk of this happening, when I plan to go to the beach, once I arrive in Florida, I usually make sure that I have an umbrella and some good quality sunscreen that is waterproof. This allows me to stay in the shade and out of the sun when needed as well as allowing me to not have to reapply more sunscreen when I get out of the water, and apply it only when I feel like I need too. Usually to avoid any type of sun damage, I reapply sunscreen every couple of hours to ensure that I can make the whole day at the beach without getting sunburn. By preparing early before going on the trip, it allows me to get the necessary equipment ready for me to take to prevent this type of bodily risk from harming me. Another aspect of this trip that would have to be planned prior to flying to Florida for spring break is the excursion day trip for snorkeling. This process has the potential to be very difficult because of the vast amount of businesses that have excursion trips throughout the different areas of where I will be that take locals and tourists to different parts of the…
charged with governance and management
* ASA 200.3 / ISA 200.3
* Purpose of the audit is to enhance the degree of confidence of the intended users of the FR
* To form a judgement on FR, auditor must look behind the FR to the data and allocations of the data
* Therefore there is a close relationship between accounting and auditing
* 3 parts to an audit
* 1. Audit planning
* Work out the risks
* Work out what clients business is therefore…
vulnerabilities and the efficacy of defense and mitigating mechanisms in place and those intended to be implemented in future.
Companies favor an integrated audit that covers financial controls as well as the information systems. Organizations have to ensure that they comply with the set audit standards and legislations in this process. An audit standard like Statement of Auditing Standard (SAS) number 70 complies with the American Institute of Certified Public Accountants (AICPA)…
1. GAAS identifies characteristics of auditors guide and guide the conduct of the audit. The AICPA or PCAOB are responsible.
2. AICPA is for non-public firms. PCAOB is for public firms. SEC has no rule.
3. The two possible sources are the pronouncements from the AIPCA or the PCAOB.
4. GAAS- Responsibilities principle is training, due professional care. Performance principle is the planning, understanding, and evidence. Reporting principle is the compliance and disclosures.
5. Independent in…
Expanded audit report
Empirical studies have been conducted
in the US, the UK and Australia to examine
whether using an expanded audit report
is effective in reducing an audit expectation
gap. A survey conducted by Nair
and Rittenberg (1987) in the USA revealed
that an expanded audit report changes the
users’ perceptions with regard to the responsibilities
of the auditors. Likewise, Gay
and Schelluch (1993) found that audit reports
based on the revised Statement of
Auditing AUP3 (i…
rely on the information provided in financial statements to make investment decisions. The entity has an obligation to them to conform to standards and follow all rules and laws.
IV. All Employees Reduce Risk: Personnel at all levels can utilize the COSO Framework “to strengthen processes that reduce the likelihood of material failures of all kinds, not just those associated with financial reporting. Operating personnel must play a vital role in establishing and maintaining an effective internal control…
The term audit derived from audire, the Latin word which means to hear. The objective for auditing has changed overtime according to the needs and expectation of society. ISA 200 defines that the aim of audit is to provide a true and fair view in accordance with the applicable financial reporting framework. Auditing plays a significant role in detecting and preventing fraud or other financial crime. There was lots of breathtaking news relating to absence of effective auditing. For…
that accountants have a good credit crisis.
He said, initially quoting me,:
“RBS failed, Lloyds TSB failed. HBOS failed. Bradford & Bingley failed. Alliance & Leicester darned nearly failed. Not a single hint, not one, anywhere in their audit reports that these companies were not going concerns, that they did not have the necessary liquidity to survive.”
Perhaps you might like to provide your evidence for this nonsense? You are entitled to your opinions, and I would fight for your right…
Audit fee is a premium which is the company pay to the external auditor in exchange the auditing service. In 2012, Mathieu Luypaert and Tom Van Caneghem states that the majority of acquired firms switch to the auditor of the acquiring firm after a takeover. In other words, the acquiring firm and acquired firm share the audit firm after takeovers. In 2013, Dan S. Dhaliwal, Phillip T. Lamoreaux, Lubomir P, and Litov, Jordan B. Neyland find that in a quarter of all public acquisitions…
Internal Control Guidance and Regulations
The auditor, who audits a public trade company, is required to perform an audit of internal control over financial reporting per the Public Company Accounting Oversight Board Standards (PCOB). In addition, the auditor should obtain an understanding of the internal control and test the effectiveness of the internal control. Obtained an understanding of internal control and assessing the control risk will provide with information regarding material…
Audit Design Part I
August 11, 2014
Audit Design Part I
ANDERSON, OLDS, and WATERSHED, CPAs
Portland, Maine 04101
December 15, 2007
Mr. Larry Lancaster, President
3671 New Age Drive
Portland, Maine 04101
Dear Mr. Lancaster:
This letter is to confirm the engagement of Anderson, Olds, and Watershed’s services to provide an audit of the financial statements by examining the internal controls. Anderson, Olds, and Watershed (AOW) will…