You are an audit partner of Thomas Yeo & Co. and have been newly allocated the audit of Golden Ltd, a listed company which has been an audit client for eight years.  You have been informed that the father of a new audit trainee assigned to the Golden Ltd audit team owns a 5% interest in Golden Ltd.   Which of the following safeguards are appropriate in this situation?        I.        Thomas Yeo & Co. should resign from the current period audit engagement     II.         Disposal of the interest by the audit trainee’s father   III.        Independent reviews of the audit work performed by the audit trainee   IV.        Removal of the audit trainee from the Golden Ltd engagement   Question 7 options:   1)  I, II and IV   2)  II, III and IV   3)  I, II and III   4)  I, III and IV

Some members on the Audit Committee of Willow Ltd’s term will be ending in the current financial period and the board received the following nominations to replace them:1 Ms Kain, a non-executive director, who is also a material customer of Willow Ltd.2 Mrs Naidoo, who was a finance intern two (2) years ago before she left to complete her traineeship; she is now a qualified Chartered Accountant (SA).3 Mr Botha, the current finance director.4 Mrs Lang, a non-executive director on the board and a Chartered Accountant (SA) by profession.You are asked to evaluate the nominations and indicate whether the nominated individuals may be appointed to Willow Ltd’s audit committee in terms of the Companies Act.Choose the correct option

Q.5 (a) The audit firm AB& Co. has been the auditor for W Ltd. for last seven years. This year, A one of the partners of the firm, has instructed the audit team not to make a new audit programme and conduct audit on the basis of prior experience. Comment.(b) Raju and Sunny invested in the shares of M India Ltd. They lost their investment. They sued the auditors on the plea that auditors have given a clean audit report for last few years for the said entity. Comment.

You are the lead partner overseeing the audit for Camo Ltd, a privately owned company. The completion of the audit report is pending for the income year 2020 and you have noted several situations with possible actions. The situations are as follows: 1. Camo Corporation carries its property, plant, and equipment accounts at current market values. Current market values exceed historical cost by a highly material amount, and the effects are pervasive throughout the financial statements.  2. Management of Camo Corporation refuses to allow you to observe, or make, any counts of inventory. The recorded book value of inventory is highly material.  3. You were unable to confirm accounts receivable with Camo’s customers. However, because of detailed sales and cash receipts records, you were able to perform reliable alternative audit procedures.  4. One week before the end of fieldwork, you discover that the audit manager on the Camo engagement owns a material amount of Camo’s common stock.  5.…

Select any publicly traded company and obtain its most recent 10-K filing.Links to an external site. (within the last two years). Select a different company from your peers. Assume that you have been assigned as the auditor for this company. Choose one of the topics below to discuss: Identify the risks the company included in its filing. As the auditor, you need to be aware of these risks, as they could have misstatement implications for multiple financial statement accounts. What concerns should you have about the risk of material misstatement in the financial statements for the company you selected? Review Footnote Disclosures and discuss any pending litigation. What is the primary concern for auditors and shareholders regarding disclosure of pending litigation?  Discuss any related party transactions in the Footnote Disclosures. What is the primary concern for auditors and shareholders regarding the disclosure of related party transactions?

Hall accepted an engagement to audit the year 1 financial statements of XYZ Company. XYZcompleted the preparation of the year 1 financial statements on February 13, year 2, and itsauditors began the fieldwork on February 17, year 2. Hall completed gathering sufficientappropriate evidence on March 24, year 2; Hall’s report and XYZ’s financial statements werereleased on March 28, year 2. The written representations normally would be dateda. February 13, year 2.b. February 17, year 2.c. March 24, year 2.d. March 28, year 2.

You a partner incharge of the audit for Bargin Ltd, a private company. The completion of the audit report is pending for the income year 2018 and you have recorded some situations where possible action is required They  are listed below: Bargin Ltd, carries its property, plant, and equipment accounts at current market values. Current market values exceed historical cost by a highly material amount, and the effects are pervasive throughout the financial statements. Management of Bargin Ltd, refuses to allow you to observe, or make, any counts of inventory. The recorded book value of inventory is highly material. You were unable to confirm accounts receivable with Bargin Ltd, customers. However, because of detailed sales and cash receipts records, you were able to perform reliable alternative audit procedures. One week before the end of fieldwork, you discover that the audit manager on the Bargin Ltd, engagement owns a material amount of Bargin Ltd,  common stock. You relied…

You are the audit partner of John& Co., a large audit firm that is operating in sydney. Your firm audited ABC Ltd, a custom-made products manufacturing company. ABC Ltd declared bankruptcy within six months of receiving an unqualified auditor's opinion on its financial statements for the year ended 31 December 2018. The XYZ bank initiated a court challenge against your firm on the grounds that the bank disbursed a $2,500,000 loan to ABC Ltd in May 2019, but ABC went bankrupt shortly afterwards. The plaintiff alleged that your firm's 2018 audit of ABC was deficient and argued that the auditors failed to uncover that the value of ABC's inventories were substantially lower than reported on the balance sheet. Your audit firm did not issue privity letters to any third party in the past four years. With reference to the principles established in common law, explain whether the XYZ bank is likely to be successful

You are the lead partner overseeing the audit for Camo Ltd, a privately owned company. The completion of the audit report is pending for the income year 2020 and you have noted several situations with possible actions. The situations are as follows: 1. Camo Corporation carries its property, plant, and equipment accounts at current market values. Current market values exceed historical cost by a highly material amount, and the effects are pervasive throughout the financial statements.  2. Management of Camo Corporation refuses to allow you to observe, or make, any counts of inventory. The recorded book value of inventory is highly material.  3. You were unable to confirm accounts receivable with Camo’s customers. However, because of detailed sales and cash receipts records, you were able to perform reliable alternative audit procedures.  4. One week before the end of fieldwork, you discover that the audit manager on the Camo engagement owns a material amount of Camo’s common stock.  5.…