Week 5 Discussion Audit

ACCT435-1202B-01 Auditing

Assignment Name:

Unit 5 Discussion Board

Deliverable Length:

2–3 paragraphs

Details:

This is the first year that you have audited Hurst & Johnson Corporation. You discovered that the company is carrying its property, plant, and equipment at appraisal values and determines depreciation on the basis of these values. This is considered a very large scope-limitation, and you have not been able to form an opinion on the financial statements taken as a whole.
Discuss the ethical issues involved with this situation.
Explain how you should handle this situation.
Explain what type of report you should issue and why.

The following rubric will be used for grading:

Grading Rubric

30%

Discuss the ethical issues involved with this situation.

20%

Explain how you should handle this situation.

40%

Explain what type of report you should issue and why.

10%

Comment on other students’ postings.

Objective:

? Develop an auditor report attesting to management’s assertions regarding the effectiveness of internal controls and recognize situations that present potential ethical and legal issues and develop solutions for those issues.

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