Nobody downloaded yet

The Audit Report and Internal Control Evaluation - Essay Example

Comments (0) Cite this document
Summary
Evaluation of Audit Evidence and Formulation of Audit Report – Apollo Shoes Incorporation [Instructor Name] Evaluation of Audit Evidence and Formulation of Audit Report – Apollo Shoes Incorporation There are a number of issues which have been identified during the process of auditing the financial statements of Apollo Shoes Incorporation…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER93.7% of users find it useful
The Audit Report and Internal Control Evaluation
Read TextPreview

Extract of sample "The Audit Report and Internal Control Evaluation"

Download file to see previous pages It is the responsibility of the management of Apollo Shoes Incorporation to prepare these financial statements. We are responsible to conduct the audit of financial statements of the company and to express an opinion on the basis of audit findings. In addition to the audit we have also audited management’s assessment, included in the accompanying Management’s Report on Internal Control Over Financial Reporting, that APOLLO SHOES, INC. maintained effective internal control over financial reporting as of December 31, 2007, based on criteria established in Internal Control – Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO criteria). APOLLO SHOES’ management is responsible for these financial statements, for maintaining effective internal control over financial reporting, and for its assessment of internal control over financial reporting. ...
Our audit of the financial statements including examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our audit of internal control over financial reporting included obtaining an understanding of internal control over financial reporting, evaluating management’s assessment, testing and evaluating the design and operating effectiveness of internal control, and performing such other procedures as we considered necessary in the circumstances. We believe that our audits provide a reasonable basis for our opinions. A company’s internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company’s internal control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“The Audit Report and Internal Control Evaluation Essay”, n.d.)
Retrieved from https://studentshare.org/finance-accounting/1457408-the-audit-report-and-internal-control-evaluation
(The Audit Report and Internal Control Evaluation Essay)
https://studentshare.org/finance-accounting/1457408-the-audit-report-and-internal-control-evaluation.
“The Audit Report and Internal Control Evaluation Essay”, n.d. https://studentshare.org/finance-accounting/1457408-the-audit-report-and-internal-control-evaluation.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF The Audit Report and Internal Control Evaluation

The audit report and internal control evaluation. Apollo Shoes Inc

...? The Audit Report and Internal Control Evaluation Independent Auditors Report To the Audit Committee Copy Shareholders and the Board of Directors Apollo shoes company Address xxx An Unqualified Audit Report of Apollo Shoes Company Introduction The auditing process of financial statements and evaluation of internal control systems of Apollo shoes was perfect. This is a report of findings, and recordings of the audit firm as of 31st December 2011. The audit follows the...
6 Pages(1500 words)Essay

Internal Control and Risk Evaluation

...? Topic: Internal Control and Risk Evaluation The system has tried to analyze inherent risks that revolve around sales, account payable, wage payment and inventory. In relation to sales control do not incorporate the procedures for evaluating and classifying new clients. This creates a risk to sales department that may result to loss of revenue due to misclassification of clients; bad debtors may be classified good thus raising the dad debts percentage within the firm. The firm should identify ways of prescreening new clients, either by examining their previous bank statements, statements of financial position and consulting their business partners to...
3 Pages(750 words)Essay

Audit and Internal Control Issues

...?Report Jean-Pierre Christophe CEO, SUCRE DELIGHTS LTD Manager 23 May Audit and Internal Control Issues - Sucre Delights Limited Keeping in view the weaknesses in the internal control and management practices in relation to maintaining effective internal control, different areas of concerns are discussed in this report. The first part of the report identifies the major risks, which the company faces at present and the ways in which these risks can be eliminated. In the second part, the report discusses the information required and procedures to be performed for the purpose of audit planning and risk assessment of the entity. In the next section, the report identifies the tests of controls to be performed for obtaining sufficient... in...
6 Pages(1500 words)Coursework

Internal Control

...other things. In 2002 the government of the United States passed the Sarbanes-Oxley Act (SOX). This act was a revolutionary legislation that was created to increase the confidence of investors in the stock market due to the fact that the marketplace had been flooded with accounting scandals such as Enron and WorldCom. One of the benefits of the Sarbanes-Oxley Act is that it increased the internal control requirements of public companies. Section 404 of the Sarbanes-Oxley Act says that all public companies must include an internal control assessment report within the annual report. “Section 404 is the most complicated, most contested, and...
3 Pages(750 words)Essay

Audit and Internal Control

...data, the finance director has asked for an audit report detailing the security status of the system. Data will be input in the computers from workstations, and there is risk of unauthorized access to this data at this point. Data from satellite stations will be transmitted through the internet, and there is the risk of this data getting accessed by unauthorized individuals either remotely or otherwise. The finance director has specifically asked for a description of the general controls that can be exercised to avert unauthorized access to the computer system from remote workstations. These may be the remote workstations of the company's staff or the remote workstation of a computer...
7 Pages(1750 words)Essay

Internal Control

...on cash accounts. This would have given the Company an opportunity to find the diverted funds and uncover the crime. Internal controls on cash accounts can limit any one employee from diverting funds for their personal use. Limiting an employee's duties to either payment or deposit is mandatory. Involving more than one individual in the management of an account is also needed. The system of internal controls centers around involving multiple individuals, each with limited duties. It is then the responsibility of the company to conduct independent, random audits. Works Consulted Bodnar, George H., and William S. Hopwood. Accounting Information...
2 Pages(500 words)Case Study

Audit and Internal Control

...Running head: AUDIT AND INVENTORY CONTROL Audit and Inventory Control s Introduction: The discussion about auditing gap is based on the hypothesis that it was not the failure of auditing mechanisms or the expectation gap, which lead, to the collapse of different organisations such as Enron but the perversion of the governance model, which caused the disaster. Essentially, the basic issue was not fraud detection by the auditors but the alleged act of in concealment which done the damage. Nevertheless, there is still no conclusive empirical evidence in the literature about whether and how auditing mechanisms influence the...
7 Pages(1750 words)Essay

Internal Control

...Case Study: Internal Control Table of Contents Table of Contents 2 Introduction 3 LJB Company: Going Public 3 Question 1 3 Question 2 4 Question 3 4 Summary and Conclusion 5 Introduction Internal control in auditing and accounting is defined as the process that assures the objectives of an organization are achieved in operational efficiency and effectiveness, policies and regulations, compliance with laws, as well as reliable financial reporting (Trenerry, 2009). It is a broad concept that entails everything which controls an organization’s risks. At organizational level, objectives of internal...
2 Pages(500 words)Case Study

Internal Audit

...). Audit committee on quality and internal control: An empirical analysis. Journal of Audit Practice & Theory, 32(1), 221-245. Krista, D. B. & Martin, W. E. (2012). Quantitative and statistical research methods: From hypothesis to results. Pittsburg: John Wiley & Sons. Larry, H. (2009). Step-by-Step basic statistics: Student guide. New York: SAS Institute. Munir, M., Khallaf., P, Shakir., H & Yass, A. (2011). Characteristics of an internal audit activity. CBOK Study, 12(10), 23-65. Newton, J. D. (2010). Audit delay and the timeliness of corporate reporting. Journal of Contemporary Accounting...
5 Pages(1250 words)Research Proposal

Audit & Assurance: Internal Control Deficiencies

...and at the same time rely on internal auditors employed by the organization. Discussion Introduction of the report EFS (Emerald Fitness Studio) deals with the sale of fresh foods and beverages and operates a chain of several stores. This report provides a case analysis of a company known as Emerald Fitness Studio. The report will also highlight various issues related to internal controls in the organization. In addition, the report will highlight the concept of risk based audit and how it can be used to solve the problems affecting EFS. Another issue discussed in the report is the...
7 Pages(1750 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic The Audit Report and Internal Control Evaluation for FREE!

Contact Us