The SEC referred to several “audit failures” that were allegedly the responsibility of Michael Sullivan. Define what you believe the SEC meant by the phrase “audit failure.” Do you believe that Sullivan, alone, was responsible for the deficiencies that the SEC noted in Andersen’s 1997 audit of Golden Bear? Defend your answer.
Answer to relevant QuestionsSullivan identified the 1997 Golden Bear audit as a “high- risk” engagement. How do an audit engagement team’s responsibilities differ, if at all, on a high- risk engagement compared with a “normal” engagement? ...Identify audit tests that may be used as alternative audit procedures when a response is not received for a positive confirmation request. Compare and contrast the quality of audit evidence yielded by these procedures with ...Do you believe that Deloitte behaved properly by accepting GM’s decision to apply a 6.75 percent discount rate to its pension liabilities? What, if any, other steps or measures should Deloitte have taken under the ...In early 1994, E&Y officials discovered that the CBI auditors had failed to determine the true nature of the “advances” they had uncovered during the 1992 and 1993 audits. In your view, did E&Y have an obligation to ...Identify the primary audit objectives for a client’s year-end discretionary expense accruals. Is it permissible for companies to overstate period-ending expense accruals to make their financial statements more ...
Post your question