User Account

All Pages

Calculated the total of land and buildings

Assignment Help Financial Accounting
Reference no: EM132560061

You are the audit manager of Daffy & Co and you are briefing your team on the approach to adopt in undertaking the review and finalisation stage of the audit of your client Minnie Co. Profit before tax for the year is $10,000,000. You identified the following 3 issues:

Issue 1 Depreciation has been calculated on the total of land and buildings. In previous years it has only been charged on buildings. Total depreciation is $2,000,000 and the element charged to land only is $700,000.

Issue 2 Minnie Co's computerised wages program is backed up daily, however for a period of two months the wages records and the back-ups have been corrupted, and therefore cannot be accessed. Wages and salaries for these two months are $1,100,000.

Issue 3 Minnie Co's main competitor has filed a lawsuit for $5,000,000 against them alleging a breach of copyright; this case is ongoing and will not be resolved prior to the audit report being signed. The matter is correctly disclosed as a contingent liability.

Required:

Question 1: Discuss each of these issues and describe the impact on the audit report if the above issues remain unresolved.

Issue 1: Required: Discuss the issue and describe the impact on the audit report if the above issues remain unresolved.

Issue 2: Required: Discuss the issue and describe the impact on the audit report if the above issues remain unresolved

Issue 3: Required: Discuss the issue and describe the impact on the audit report if the above issues remain unresolved

Reference no: EM132560061

Questions Cloud

What is weakest link in the security of an it infrastructure : What is the weakest link in the security of an IT infrastructure? What are some of the strategies for reducing the risks? No Copy Paste strictly.
Make the end of the month application general journal entry : Use this information to make the end of the month application General Journal entry (without explanation) of factory overhead for Job A-1 for the month
Should take the lump sum and invest : John won the lottery. Should take the lump sum and invest or should he take the annual payment providing him with an implied 4% return?
Calculate the dollar amount of the cost of goods sold : Cost of goods manufactured for the FY 2016 was $250,000. Use this information to calculate the dollar amount of the FY 2016 cost of goods sold
Calculated the total of land and buildings : Discuss each of these issues and describe the impact on the audit report if the above issues remain unresolved. calculated on the total of land and buildings
What is the total dollar amount available : You will roll over the maturity value of CD one into an 18 month CD that is earning 3% (SA). What is the TOTAL DOLLAR AMOUNT available
Charlotte perkins gilman the yellow wallpaper : Read Charlotte Perkins Gilman's "The Yellow Wallpaper" and post your thoughts in attached forum. Did you like it? Hate it?
Make income statement and a statement of financial position : The trial balance of Lyons Brooke Bond at 31 May 2018. Prepare income statement and a statement of financial position for the year ended 31 May 2018.
Model of aggregate demand and short-run : Use the model of aggregate demand and short-run aggregate supply to explain how each of the following would affect real GDP and the price level in the short run

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd