Question: When auditing Vandalay Jewelry Costanza CPA was not familiar with

When auditing Vandalay Jewelry, Costanza, CPA, was not familiar with the quality and cut of the company’s precious jewel inventory. To address this shortcoming, Costanza hired Benes, an expert in jewel valuation, to assist as an audit specialist for the inventory valuation. Should Costanza refer to Benes’s work in the audit report?
a. Yes, the auditors’ report should mention the fact that an audit specialist was used.
b. The auditors’ report should mention the use of the audit specialist only when the audit specialist’s findings affect the auditors’ conclusions.
c. The use of an audit specialist need not be mentioned if the auditors decide not to take responsibility for the audit specialist’s findings.
d. The auditors’ report should mention the audit specialist only if Vandalay agrees with the audit specialist’s findings.

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  • CreatedOctober 27, 2014
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