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Assurance - Essay Example

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The McKenna, Harmon & Jacobs Frist Union Square have no opinion about the matter, while $500,000 is a significant amount to be considered. As a result of…
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Assurance

Download file to see previous pages... 4- a client representation letter is a written statement from a nonindependent source and therefore cannot be regarded as reliable evidence. For example, if there were a hidden information source that did shown to auditor, then it relay on the Winery at Chateau Americana.
6 - As an audit committee, communication with the board of the directors would make more effective audit reports, and it would lead the audit committee to express an opinion for better future planning.
B - There are two pending litigation matters. The first is from a former employee who is seeking damages for injuries sustained while employed by the company. The employee was injured as a result of the company’s negligent maintenance of the workplace safely equipment as required by the Occupational Safety. Also, there is an uncertain loss on contingency liability by $500,000, of which McKenna, Harmon & Jacobs did not give an opinion about the matter.
122 A - Notes regarding subsequent events affecting the current year’s financial statements could be affected by the report in pending litigation, restructuring of long-term debt and updating the new accounting firm
Focus on spending money on outside growers because 75% of their usage of grapes is from external sources. As a suggestion, the winery should look for more third parties with higher quality and lower prices to reduce the 75% ...Download file to see next pagesRead More
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