Auditing

Order Instructions/Description
Very important: make sure you connect the textbook materials and the professional standards with the case information. You are analyzing a specific case, not just providing general discussion of revenue recognition, fraud risk assessment, and audit procedure.

Access to accounting standard codification

**Question 2 is about fraud risk assessment

  1. The applicable professional standard includes
    AICPA AU-C 240.02
    AICPA AU-C 240.10
    AICPA AU-C 240.11
  2. You can also use Ch 11 materials to analyze the case
  3. An overall discussion and separate analysis of the two revenue sources are expected

Question 3 is about the design of audit procedure
1. Relevant professional standard includes:
Regarding the Evaluation of Accounting Policies
PCAOB AS 5.26
PCAOB AS 12.12
PCAOB AS 12.13
PCAOB AS 12.57

Regarding Planning for Further Audit Procedures (Substantive Procedures and
Control Procedures)
PCAOB AS 12.72
PCAOB AS 12.73
PCAOB AS 12.17
PCAOB AS 13.11
PCAOB AS 13.12
AICPA AU-C 720.01
AICPA AU-C 720.06

  1. An overall discussion and separate analysis of the two revenue sources are expected. You can follow this structure:
    (1) Relevant audit standard
    (2) General discussion about your audit procedure
    (3) Specific audit procedure – audit evidence technique