1. With reference to the most recent auditor general’s report on a chosen covered entity as well as relevant committee sittings of parliament, explain how the auditor general’s report facilitates parliamentary scrutiny of public expenditure.

 

1. Format: Times New Roman, Double Line Spacing, Justify.
2. Pages: The entire work including references should be between 10 to 12 pages.

 

ABC and Associates, Certified Public Accountants, audits the financial statements of XYZ, Inc. During the audit, ABC engaged Eric and Evan LLP, a London, England public accounting firm, as a component auditor to audit XYZ’s wholly owned English subsidiary.

a. Should ABC make reference to the component auditor in its audit report? Explain.

b. Assume that Eric and ABC issued a qualified report on the English subsidiary. Should ABC include the same qualification in its report on Jordan Toys?

Five page paper. Double Spaced with references: Governmentaccountants and auditors work in the public, what are their rolesand responsibility? What kind of code of ethics do they need toadhere to?

18A.) An auditor determines that a client who received a federalgrant fraudulently reported information to the federal government.The client’s management refuses to acknowledge the fraud. Which ofthe following parties should the auditor contact first?

The recipients of the client’s services.

The state attorney general’s office.

The agency that provided the grant.

The state accountancy board.

17B.) Reporting standards for financial audits underGovernment Auditing Standards differ from reportingstandards under generally accepted auditing standards in thatGovernment Auditing Standards require the auditor to

Present the results of the auditor’s tests of economy andefficiency regarding the use of the entity’s resources.

Describe the scope of the auditor’s tests of compliance withlaws and regulations.

Provide negative assurance that the auditor discoveredno transactions that were indicative of illegalacts.

Provide positive assurance that the entity’s audit committee isadequately informed about the effects of any illegal acts.

16 C.) When reporting on an entity’s internal control overfinancial reporting in compliance with generally acceptedgovernment auditing standards, an auditor should issue a writtenreport that includes a

Statement of positive assurance that the results of testsindicate that internal control either can, or cannot, be relied onto reduce control risk to an acceptable level.

Statement of negative assurance that nothing came to theauditor’s attention that caused the auditor to believe significantdeficiencies were present.

Description of the scope of the auditor’s testing of internalcontrol.

Description of the material weaknesses and the strengths thatthe auditor can rely on in reducing the extent of substantivetesting.