You and a friend have just finished an enjoyable dinner at Rosie’s East End Restaurant (Rosie’s). Rosie’s is a favorite watering hole for local residents in a very busy tourist town in eastern Pennsylvania. The ‘dining room’ section of Rosie’s is comfortable and relaxed. The food is very good and the prices are reasonable. The restaurant specializes in Italian–American dishes, but does have a varied menu.

After dining, patrons enjoy exchanging local gossip and stories at the spacious bar while watching sporting events on the big screen TV.
Your server has just given you the bill.

You enjoy going to Rosie’s, but are always a little concerned when it comes to paying the bill. The servers are long-time employees of the restaurant, they perform all calculations on the bill manually and they are sometimes forgetful when it comes to preparing the bill. One time you received the bill for a nearby table and periodically you see a server looking at a menu and trying to figure out the price of an item. The servers use a small calculator to add the bill (some of the servers have arthritis). Restaurant patrons pay their bills at the bar. The owners handle all restaurant payments and enter only the total from the bill into the cash register. As such, you always take time to verify the bill before you pay it.Requires Part for all Students
In brief answer following questions:
1. Is the bill accurate?
2. Are you willing to pay the bill? Why or why not?
3. What procedures did you perform in determining whether the bill was accurate? What steps did you follow?
4. What information (evidence), if any, did you use in your decision of whether to pay the bill? How helpful was the information (evidence) in persuading you to pay or not pay the bill?
5. Were your procedures in determining the accuracy of the bill impacted by what you knew about the restaurant’s operating procedures? How would your procedures change if restaurant had an electronic system for billing?
Optional Part for Students who missed discussions
In brief answer following questions:
1. How can you relate the case above to the actual audit engagements? What are the analogies used in the case? If the bill is financial statement, who is audit client and who is auditor. What is GAAP in this analogy. What are the internal controls? And so on.
2. By how much was bill amount misstated? What mistakes did you find? Do you think it is material? Why or why not?
3. Now suppose that you are an executive who must approve large volumes of invoices for payment, but you do not have sufficient time to verify every invoice. You decide to hire an expert to determine the accuracy of the invoices. You will base your decision on whether to approve payment on the expert’s recommendation. What are some of the personal and/or professional attributes that you expect the expert to possess?

Transcribed Image Text:

APPETIZERS- :15. 100 4.45 Bonid l. 75 Cup 5 Pepperoni & Provolone Cheese .. Sulami and Provolone Cheese Celery and Anchovies Реррегoni Anchovies Celery Orange Juice, Tomato Juice uit Cup AOME MADE Soup Oyster Stew- (n Season) Shrimp Cocktail IETERS NELIGIT-Tn SALAD, CUTIAGE CLEtst, FRINTED TELLO, 1ETIUCE AJD TOHATOts 3,5 SALADS Tossed Salad: KtY ITALIAN, FP-FREE Panje4 French or Russian Dressing . Bleu Cheese Dressing ... Other Salards: Tuna Fish Lettuce Ifeart OUR SPECIALITALIAN SALAD 2:50& 15 2.00 Topped with Grated Provolone Chgesg Tomato & Leituce Pickled Egg .. Cottage Cheese with Fruit 2 50& I00 Antipasto Chej's Salad -PASTA- MADE TO ORDER & SERVED WITH ITALIAN ROLL AND BUTTER ITALIAN SPAGHETTI I ARG SALAI! 515 415 Egg Noodles 1.00.Extra 50. Extra teat Sauce and Meat Ball heạt Şauce and Veal Parmigiana 100 6.00 Rigatoni, Rotinj, or Shells TAs per "Daily Special") 1.00 15 Extra Meatball Meat Sauce and Chicken Parmigiana . Extra Sauce Meat Sauce and Veal Cutlet 715 515 Meat Sauce and Chicken Cutlet Child's Spaghetti With Meat Bal 4.15 5.15 2.25 525 l625 525 Tomato Sauce and Mushrooms (a25 5.25 Te00 5.00 15 415 I25 425 500 400 Meat Sauce and Mushrooms Meat Sauce and Pepperoni. RAVIOLI VEAL PARMIGIANA (Meatless) with Meat Sauce Aleut or Cheese) Garlic Toast Veol with Melted Cheese & Tomaro Seuce Olive Oil and Anchovies Tomato Sauce (Meatless) 1.00 le. 00 3.50 Olive Oil and Garlic Butter PEZZA (12 inch) (14 inch) 5.00 6.00 Tomato, Cheese PIZZA SUB .50 Anchovies Green Peppers 1.0 Extras.:20 Mushraons Each Onions Pepperoni Extra Cheese Fig. 2. continued EXTRAS APPETIZERS- :15. 100 4.45 Bonid l. 75 Cup 5 Pepperoni & Provolone Cheese .. Sulami and Provolone Cheese Celery and Anchovies Реррегoni Anchovies Celery Orange Juice, Tomato Juice uit Cup AOME MADE Soup Oyster Stew- (n Season) Shrimp Cocktail IETERS NELIGIT-Tn SALAD, CUTIAGE CLEtst, FRINTED TELLO, 1ETIUCE AJD TOHATOts 3,5 SALADS Tossed Salad: KtY ITALIAN, FP-FREE Panje4 French or Russian Dressing . Bleu Cheese Dressing ... Other Salards: Tuna Fish Lettuce Ifeart OUR SPECIALITALIAN SALAD 2:50& 15 2.00 Topped with Grated Provolone Chgesg Tomato & Leituce Pickled Egg .. Cottage Cheese with Fruit 2 50& I00 Antipasto Chej's Salad -PASTA- MADE TO ORDER & SERVED WITH ITALIAN ROLL AND BUTTER ITALIAN SPAGHETTI I ARG SALAI! 515 415 Egg Noodles 1.00.Extra 50. Extra teat Sauce and Meat Ball heạt Şauce and Veal Parmigiana 100 6.00 Rigatoni, Rotinj, or Shells TAs per "Daily Special") 1.00 15 Extra Meatball Meat Sauce and Chicken Parmigiana . Extra Sauce Meat Sauce and Veal Cutlet 715 515 Meat Sauce and Chicken Cutlet Child's Spaghetti With Meat Bal 4.15 5.15 2.25 525 l625 525 Tomato Sauce and Mushrooms (a25 5.25 Te00 5.00 15 415 I25 425 500 400 Meat Sauce and Mushrooms Meat Sauce and Pepperoni. RAVIOLI VEAL PARMIGIANA (Meatless) with Meat Sauce Aleut or Cheese) Garlic Toast Veol with Melted Cheese & Tomaro Seuce Olive Oil and Anchovies Tomato Sauce (Meatless) 1.00 le. 00 3.50 Olive Oil and Garlic Butter PEZZA (12 inch) (14 inch) 5.00 6.00 Tomato, Cheese PIZZA SUB .50 Anchovies Green Peppers 1.0 Extras.:20 Mushraons Each Onions Pepperoni Extra Cheese Fig. 2. continued EXTRAS APPETIZERS- :15. 100 4.45 Bonid l. 75 Cup 5 Pepperoni & Provolone Cheese .. Sulami and Provolone Cheese Celery and Anchovies Реррегoni Anchovies Celery Orange Juice, Tomato Juice uit Cup AOME MADE Soup Oyster Stew- (n Season) Shrimp Cocktail IETERS NELIGIT-Tn SALAD, CUTIAGE CLEtst, FRINTED TELLO, 1ETIUCE AJD TOHATOts 3,5 SALADS Tossed Salad: KtY ITALIAN, FP-FREE Panje4 French or Russian Dressing . Bleu Cheese Dressing ... Other Salards: Tuna Fish Lettuce Ifeart OUR SPECIALITALIAN SALAD 2:50& 15 2.00 Topped with Grated Provolone Chgesg Tomato & Leituce Pickled Egg .. Cottage Cheese with Fruit 2 50& I00 Antipasto Chej's Salad -PASTA- MADE TO ORDER & SERVED WITH ITALIAN ROLL AND BUTTER ITALIAN SPAGHETTI I ARG SALAI! 515 415 Egg Noodles 1.00.Extra 50. Extra teat Sauce and Meat Ball heạt Şauce and Veal Parmigiana 100 6.00 Rigatoni, Rotinj, or Shells TAs per "Daily Special") 1.00 15 Extra Meatball Meat Sauce and Chicken Parmigiana . Extra Sauce Meat Sauce and Veal Cutlet 715 515 Meat Sauce and Chicken Cutlet Child's Spaghetti With Meat Bal 4.15 5.15 2.25 525 l625 525 Tomato Sauce and Mushrooms (a25 5.25 Te00 5.00 15 415 I25 425 500 400 Meat Sauce and Mushrooms Meat Sauce and Pepperoni. RAVIOLI VEAL PARMIGIANA (Meatless) with Meat Sauce Aleut or Cheese) Garlic Toast Veol with Melted Cheese & Tomaro Seuce Olive Oil and Anchovies Tomato Sauce (Meatless) 1.00 le. 00 3.50 Olive Oil and Garlic Butter PEZZA (12 inch) (14 inch) 5.00 6.00 Tomato, Cheese PIZZA SUB .50 Anchovies Green Peppers 1.0 Extras.:20 Mushraons Each Onions Pepperoni Extra Cheese Fig. 2. continued EXTRAS APPETIZERS- :15. 100 4.45 Bonid l. 75 Cup 5 Pepperoni & Provolone Cheese .. Sulami and Provolone Cheese Celery and Anchovies Реррегoni Anchovies Celery Orange Juice, Tomato Juice uit Cup AOME MADE Soup Oyster Stew- (n Season) Shrimp Cocktail IETERS NELIGIT-Tn SALAD, CUTIAGE CLEtst, FRINTED TELLO, 1ETIUCE AJD TOHATOts 3,5 SALADS Tossed Salad: KtY ITALIAN, FP-FREE Panje4 French or Russian Dressing . Bleu Cheese Dressing ... Other Salards: Tuna Fish Lettuce Ifeart OUR SPECIALITALIAN SALAD 2:50& 15 2.00 Topped with Grated Provolone Chgesg Tomato & Leituce Pickled Egg .. Cottage Cheese with Fruit 2 50& I00 Antipasto Chej's Salad -PASTA- MADE TO ORDER & SERVED WITH ITALIAN ROLL AND BUTTER ITALIAN SPAGHETTI I ARG SALAI! 515 415 Egg Noodles 1.00.Extra 50. Extra teat Sauce and Meat Ball heạt Şauce and Veal Parmigiana 100 6.00 Rigatoni, Rotinj, or Shells TAs per "Daily Special") 1.00 15 Extra Meatball Meat Sauce and Chicken Parmigiana . Extra Sauce Meat Sauce and Veal Cutlet 715 515 Meat Sauce and Chicken Cutlet Child's Spaghetti With Meat Bal 4.15 5.15 2.25 525 l625 525 Tomato Sauce and Mushrooms (a25 5.25 Te00 5.00 15 415 I25 425 500 400 Meat Sauce and Mushrooms Meat Sauce and Pepperoni. RAVIOLI VEAL PARMIGIANA (Meatless) with Meat Sauce Aleut or Cheese) Garlic Toast Veol with Melted Cheese & Tomaro Seuce Olive Oil and Anchovies Tomato Sauce (Meatless) 1.00 le. 00 3.50 Olive Oil and Garlic Butter PEZZA (12 inch) (14 inch) 5.00 6.00 Tomato, Cheese PIZZA SUB .50 Anchovies Green Peppers 1.0 Extras.:20 Mushraons Each Onions Pepperoni Extra Cheese Fig. 2. continued EXTRAS APPETIZERS- :15. 100 4.45 Bonid l. 75 Cup 5 Pepperoni & Provolone Cheese .. Sulami and Provolone Cheese Celery and Anchovies Реррегoni Anchovies Celery Orange Juice, Tomato Juice uit Cup AOME MADE Soup Oyster Stew- (n Season) Shrimp Cocktail IETERS NELIGIT-Tn SALAD, CUTIAGE CLEtst, FRINTED TELLO, 1ETIUCE AJD TOHATOts 3,5 SALADS Tossed Salad: KtY ITALIAN, FP-FREE Panje4 French or Russian Dressing . Bleu Cheese Dressing ... Other Salards: Tuna Fish Lettuce Ifeart OUR SPECIALITALIAN SALAD 2:50& 15 2.00 Topped with Grated Provolone Chgesg Tomato & Leituce Pickled Egg .. Cottage Cheese with Fruit 2 50& I00 Antipasto Chej's Salad -PASTA- MADE TO ORDER & SERVED WITH ITALIAN ROLL AND BUTTER ITALIAN SPAGHETTI I ARG SALAI! 515 415 Egg Noodles 1.00.Extra 50. Extra teat Sauce and Meat Ball heạt Şauce and Veal Parmigiana 100 6.00 Rigatoni, Rotinj, or Shells TAs per "Daily Special") 1.00 15 Extra Meatball Meat Sauce and Chicken Parmigiana . Extra Sauce Meat Sauce and Veal Cutlet 715 515 Meat Sauce and Chicken Cutlet Child's Spaghetti With Meat Bal 4.15 5.15 2.25 525 l625 525 Tomato Sauce and Mushrooms (a25 5.25 Te00 5.00 15 415 I25 425 500 400 Meat Sauce and Mushrooms Meat Sauce and Pepperoni. RAVIOLI VEAL PARMIGIANA (Meatless) with Meat Sauce Aleut or Cheese) Garlic Toast Veol with Melted Cheese & Tomaro Seuce Olive Oil and Anchovies Tomato Sauce (Meatless) 1.00 le. 00 3.50 Olive Oil and Garlic Butter PEZZA (12 inch) (14 inch) 5.00 6.00 Tomato, Cheese PIZZA SUB .50 Anchovies Green Peppers 1.0 Extras.:20 Mushraons Each Onions Pepperoni Extra Cheese Fig. 2. continued EXTRAS APPETIZERS- :15. 100 4.45 Bonid l. 75 Cup 5 Pepperoni & Provolone Cheese .. Sulami and Provolone Cheese Celery and Anchovies Реррегoni Anchovies Celery Orange Juice, Tomato Juice uit Cup AOME MADE Soup Oyster Stew- (n Season) Shrimp Cocktail IETERS NELIGIT-Tn SALAD, CUTIAGE CLEtst, FRINTED TELLO, 1ETIUCE AJD TOHATOts 3,5 SALADS Tossed Salad: KtY ITALIAN, FP-FREE Panje4 French or Russian Dressing . Bleu Cheese Dressing ... Other Salards: Tuna Fish Lettuce Ifeart OUR SPECIALITALIAN SALAD 2:50& 15 2.00 Topped with Grated Provolone Chgesg Tomato & Leituce Pickled Egg .. Cottage Cheese with Fruit 2 50& I00 Antipasto Chej's Salad -PASTA- MADE TO ORDER & SERVED WITH ITALIAN ROLL AND BUTTER ITALIAN SPAGHETTI I ARG SALAI! 515 415 Egg Noodles 1.00.Extra 50. Extra teat Sauce and Meat Ball heạt Şauce and Veal Parmigiana 100 6.00 Rigatoni, Rotinj, or Shells TAs per "Daily Special") 1.00 15 Extra Meatball Meat Sauce and Chicken Parmigiana . Extra Sauce Meat Sauce and Veal Cutlet 715 515 Meat Sauce and Chicken Cutlet Child's Spaghetti With Meat Bal 4.15 5.15 2.25 525 l625 525 Tomato Sauce and Mushrooms (a25 5.25 Te00 5.00 15 415 I25 425 500 400 Meat Sauce and Mushrooms Meat Sauce and Pepperoni. RAVIOLI VEAL PARMIGIANA (Meatless) with Meat Sauce Aleut or Cheese) Garlic Toast Veol with Melted Cheese & Tomaro Seuce Olive Oil and Anchovies Tomato Sauce (Meatless) 1.00 le. 00 3.50 Olive Oil and Garlic Butter PEZZA (12 inch) (14 inch) 5.00 6.00 Tomato, Cheese PIZZA SUB .50 Anchovies Green Peppers 1.0 Extras.:20 Mushraons Each Onions Pepperoni Extra Cheese Fig. 2. continued EXTRAS

Answer rating: 100% (QA)

1The bill is not accurate which means we had to pay extra amount 2I am not going to pay the ... View the full answer