Orange Automation Ltd is a client of Tyler and Partners. Orange Automations bank has asked it for
Question:
Orange Automation Ltd is a client of Tyler and Partners. Orange Automation’s bank has asked it for an audited financial report for the six months ended 31 December 2019. The bank’s request is made in December 2019, and the report must be delivered to the bank by the end of January 2020 in order to finalise negotiations on Orange Automation’s loan application. Orange Automation asks Tyler and Partners to provide the audit report on the six-monthly financial report and suggests that due to the tight timeframe, Tyler and Partners can simply update its audit report for the financial statements to the year ended 30 June 2019, without doing any additional work.
Required
Should Tyler and Partners agree to Orange Automation’s request? Explain.
Step by Step Answer:
Auditing A Practical Approach
ISBN: 9780730382645
4th Edition
Authors: Robyn Moroney, Fiona Campbell, Jane Hamilton