For each question, write short answers using complete sentences. This document will be an attachment in an email submitted to the client.

1. Download the 2021 annual report for Target. You will use the same Target annual report as in module 02:

Annual Reports and Archive (target.com). Make sure you use the 2021 report.

Public company financial statements are available in their annual report, usually found on the company's website under Investor Relations. This information can also be found in the Mergent Online library database: https://guides.rasmussen.edu/mergent. Learn more about using Mergent Online: https://rasmussen.libanswers.com/faq/209710.

Answer the following client questions about the auditor's report.

1. What time period does the audit cover? Does Target use a regular calendar year as its fiscal year? If not, what twelve-month period do they use?

2. Which accounting firm are the independent auditors from, and when did they complete the audit? What criteria or standards do the auditors use?

3. What opinion did the auditors express, and what does this opinion mean? What critical matters do the auditors mention?

4. What assurance level does the auditor give? Does the audit give absolute assurance that Target has effective internal control? How do you know?

5. According to the annual report, what is management's responsibility for financial reporting, and what is the auditor's responsibility?

6. Scroll down, and after the consolidated statements, you will see some notes on many different areas. Look at Note 4 Revenues and revenue recognition. Where do most of Target's revenues come from? When do they record the revenue? Is sales tax included in total revenue? When is revenue from Target gift card sales recognized (recorded)?