Ergonomic Office Chairs Inc. (EOC) designs and sells ergonomic furniture such as desks, chairs, executive chairs,...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Ergonomic Office Chairs Inc. (EOC) designs and sells ergonomic furniture such as desks, chairs, executive chairs, task chairs, gaming and more. EOC has sales domestically and in the U.S. You are completing your audit of the financial statement of Ergonomic Chairs Inc. for the year ended September 30, 2021, when the president and controlling shareholder came to discuss the audit progress with you. In his opinion there was no point in examining the 2021 purchase/acquisition files and no need to test data in support of the 2021 entries. First, bills relating to 2021 acquisitions were received too late to be included in the September acquisition file and were recorded instead by adjusting journal entry Second - the internal auditor made tests after year end Third - he would provide a confirmation letter to confirm there were no unrecorded liabilities REQUIRED a) How does the client's journal entry to record the 2021 bills that were received late affect your audit work? Explain b) Does the letter from the President affect your test for unrecorded liabilities? Explain c) Does the work of the internal audit department affect your testing? Explain d) In addition to examining the purchase/acquisitions file what other procedures would you perform? Ergonomic Office Chairs Inc. (EOC) designs and sells ergonomic furniture such as desks, chairs, executive chairs, task chairs, gaming and more. EOC has sales domestically and in the U.S. You are completing your audit of the financial statement of Ergonomic Chairs Inc. for the year ended September 30, 2021, when the president and controlling shareholder came to discuss the audit progress with you. In his opinion there was no point in examining the 2021 purchase/acquisition files and no need to test data in support of the 2021 entries. First, bills relating to 2021 acquisitions were received too late to be included in the September acquisition file and were recorded instead by adjusting journal entry Second - the internal auditor made tests after year end Third - he would provide a confirmation letter to confirm there were no unrecorded liabilities REQUIRED a) How does the client's journal entry to record the 2021 bills that were received late affect your audit work? Explain b) Does the letter from the President affect your test for unrecorded liabilities? Explain c) Does the work of the internal audit department affect your testing? Explain d) In addition to examining the purchase/acquisitions file what other procedures would you perform?
Expert Answer:
Answer rating: 100% (QA)
a the acquisition is made during the year ended september 30 2021 and Receipt o... View the full answer
Related Book For
Organizational Behaviour Concepts Controversies Applications
ISBN: 978-0132310314
6th Canadian Edition
Authors: Nancy Langton, Stephen P. Robbins, Timothy A. Judge, Katherine Breward
Posted Date:
Students also viewed these accounting questions
-
You are completing your audit of LTC Ltd, an importer of cell phones from Taiwan. Total sales this year were $54,000,000. The results of your audit work on inventory are summarized in the following...
-
For the year ended September 27, 2014, Apple, Inc., reported net income of $39,510 million. Total shareholders' equity on this date was $111,547 million, and on September 28, 2013, it was $123,549...
-
For the year ended September 26, 2015, Apple, Inc., reported net income of $53,394 million. Total shareholders' equity on this date was $119,355 million, and on September 27, 2014, it was $111,547...
-
Given that log (2) 0.91 and log (5) 2.1, evaluate each of the following. Hint: use the properties of logarithms to rewrite the given logarithm in terms of the the logarithms of 2 and 5. a) log(0.4)~...
-
Lori Cook has developed the following forecasting model: = 36 + 4.3x where = demand for Kool Air conditioners and x =5 the outside temperature ( F) a). Forecast demand for the Kool Air when the...
-
On 1 January 2026 Rachelle Zalmstra and Jay Muscat formed a partnership, agreeing to share profits and losses equally. Rachelle contributed \($185\) 300 in cash, and plant and equipment with a fair...
-
An electronic instrument is to be isolated from a panel that vibrates at frequencies ranging from \(25 \mathrm{~Hz}\) to \(35 \mathrm{~Hz}\). It is estimated that at least 80 percent vibration...
-
Merit Bay Communications operates a customer call center that handles billing inquiries for several large insurance fi rms. Since the center is located on the outskirts of town, where there are no...
-
Provide an example of a Cross Site Scripting (XSS) attack. Include an explanation of the differences between stored and reflective XSS attacks. 2). Provide an example of a SQL Injection attack. Why...
-
You are a financial analyst in the financial planning and analysis department of WCC. You have been assigned the following: Complete a five-year forecast based on the above assumptions. Do you...
-
Given below are the situations which need to be analyzed to identify the causes of quality issues. List appropriate quality management tools to be used for each of the situations and critique why...
-
Provided below is an incomplete input timing diagram for a motor controller (h-bridge). 1. Provide and describe two complete cycles of the control signals, Inl and In2, required to drive the motor at...
-
A: Bustillo Inc. is working on its cash budget for March. The budgeted beginning cash balance is $52,000. Budgeted cash receipts total $136,000 and budgeted cash disbursements total $131,000. The...
-
Hiram, a real estate professional, is representing a client interested in purchasing a 10-unit apartment complex. To purchase the property, the client has negotiated a $300,000 mortgage with an...
-
You are a staff accountant at a confectionary company, Philly Chocolates International (the Company or PCI). The lease on the current multifunction copiers the Company has in its headquarters is...
-
3. Compare the test scores on gender and see if there is a significant difference in testing score categories between females and males. How would you interpret the results? 4. In the school district...
-
2.) A 5 kg cat on a 2 kg skateboard starts at rest at the top of a 3 m tall ramp. The cat goes down the ramp, then across a rough horizontal surface 2 m long. The friction between the skateboard and...
-
If you want to solve a minimization problem by applying the geometric method to the dual problem, how many variables and problem constraints must be in the original problem?
-
How have changes in the workforce during the past 20 years affected organizational policies?
-
What type of structure works best with an innovation strategy? A cost-minimization strategy? An imitation strategy?
-
What are the differences between transactional and transformational leaders?
-
The mean free path \(\lambda\) of a molecule of gas is the average distance it travels before collision with another molecule. It is given by \[\lambda=C \frac{m}{ho d^{2}}\] where \(m\) and \(d\)...
-
A rectangular gate (width \(w=2 \mathrm{~m}\) ) is hinged as shown, with a stop on the lower edge. At what depth \(H\) will the gate tip? Water H 0.55 m 0.45 m P3.46 Hinge Stop
-
Gates in the Poe Lock at Sault Ste. Marie, Michigan, close a channel \(W=34 \mathrm{~m}\) wide, \(L=360 \mathrm{~m}\) long, and \(D=10 \mathrm{~m}\) deep. The geometry of one pair of gates is shown;...
Study smarter with the SolutionInn App