You have completed your audit of Ethridge Construction Company for the year ended November \(30,19 \times 5\), and have scheduled a meeting with the company's audit committee for the next day. The company builds small apartment buildings in a three-state area and has been only marginally profitable during the last five years. Ethridge uses the percentage-of completion method to recognize revenue, and although you were generally satisfied with the overall fairness of the financial statements after your audit last year, you believe the company tends to be optimistic in estimating the stage of completion of its work-in-process.

You did not receive the assistance you anticipated from the company's internal auditor because she was working on a special project for the controller. This resulted in your performing more work, which resulted in a higher-than-anticipated audit fee. The client protested the higher audit fee but has agreed to pay it. One of Ethridge's competitors issued its annual report a week before Ethridge. The president has asked that you complete next year's audit two weeks earlier than this year so that Ethridge can issue its annual report first. You worked an excessive amount of overtime just to meet this year's deadline.

Prepare an outline of all the points you would like to discuss with the audit committee.