Potential Issue

a$.$ Noeleen's Controller, Donald Liemi, was surprised to learn that a Form $10-$Q wa required to satisfy the company's first quarter filing requirements with the SEC. Liemi was concerned that there is insufficient time to develop the "actual" numbers needed to prepare the report. The $10-Q$ required shat significant estimates had to be made before the filling due date.

b$.$ Noeleen created a separate legal entity to handle its auto financing, Benedict Arnold Credit Company, during the same year it went public. The separate entity is not consolidated with the primary financial statements. Liemi decides to keep this entity off balance sheet and does not see any need for disclosure of Noeleen's relationship with Benedict Arnold Credit Company

c$.$ Noeleen Auto Mall, Ltd$.$ recently completed an initial public offering $($IPO$)$ for $$23,000,000$ by listing its common shares on the New York Stock Exchange.

d$.$ Noeleen now must satisfy a new group of financial statement users with