Before beginning work on the assignment, refer to the Assignment Formatting document for instructions on formatting and submitting the required work. You are the senior auditor at Dhaliwal 8L Company, CPAs, and have been assigned to the December 31, 20KB, year-end audit of Green Grocers Inc. (GGI). GGI is a grocery store located in Windsor, Ontario, and is owned 100% by Ray Thompson. The grocery store has seen huge growth in profits quarter over quarter. Ray is surprised that results in the last quarter have been worse than he expected, especially because the Windsor economy has been booming in the last year. It is now January 5, 20x7. You have recently taken over from Liling, the auditor in charge of the GGI audit until he went on parental leave. GGI has not yet prepared nancial statements for its December 31 year end. The most current financial statements are provided in Appendix 2. In reading through the prior-year files, you have discerned that the audits have typically gone smoothly in the past. Jean-Pierre has been the grocery manager of GGI since the store opened. Ray has been relying on Jean-Pierre to run the store more heavily since the summer months and thinks that Jean-Pierre is a solid choice for taking over his store. Ray first pitched J eanPierre the idea of buying Ray's shares in early July 20KB, after the end of the second quarter. As Ray is frequently away from the store, he added Jean-Pierre as a signing officer on GGI's bank account so that he is also able to sign cheques. Ray is keen to retire and sell his shares in the next year. Jean-Pierre told Ray he is interested in purchasing the shares pending the current-year fiscal results, but he is concerned about getting the best possible price for the GGI shares. Similar privately held grocery stores in Ontario have typically sold for five times operating earnings before tax. Ray has given Jean-Pierre a draft purchase and sale agreement with the shares' selling price outlined at five times operating earnings before tax. GGI's controller resigned at the end of September 20X6 to take another job. With no controller, most accounting tasks have been delegated to Jean-Pierre's son, Brandon, who just finished his first accounting course at a local community college. Ray feels lucky that Brandon can help because no one else at GGI has any accounting expertise. Brandon has been dating your cousin for the last six months. You remember meeting Brandon at Thanksgiving .J:........... :n nubJun- n-.- :n "In... :.............a....-l :v. Lung\"... nL..1:-.._l ...................a. TL.-. \"HA .......u-: \"4... 'L... Hal... \".4 n- "J: l..:... "1...-..\" -:....._ '1