Anne Aylor‚ Inc. Determination of Planning Materiality and Tolerable Misstatement MARKS. BEASLEY· FRANK A. BucKLEss ·STEVEN M. GLOVER· DouGLAS F. PRAWITT LEARNING OBJECTIVES After completing and discussing this case you should be able to [1] [2] Determine planning materiality for an audit client Provide support for your materiality decisions [3] Allocate planning materiality to financial statement elements INTRODUCTION j-- Anne Aylor‚ Inc. (Anne Aylor) is a leading national
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Business Case for Investment Business Case for Investment Learning Team A has been assigned to put together research‚ facts‚ and supporting documentation for how an organization should consider‚ plan for‚ and implement new technology within the business. The paper will examine different technologies that are available to existing businesses and whether it is worth the effort‚ time‚ planning‚ training‚ and mostly importantly cost‚ for the organization to implement any of these new technologies
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Case Analysis Actually‚ we can rank the projects by simply inspecting the cash flows. However‚ it is not a good method to rank the projects. In order to ensure that the investment projects selected have the best chance of increasing the value of the firm‚ we need tools to evaluate the merits of individual projects and to rank competing investments. In this case‚ our group using some tools which are Payback Period‚ Net Present Value (NPV) ‚ Profitability Index (PI)‚ and Internal Rate of Return
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assets? If so‚ how‚ if not‚ why not? On the one hand‚ the circumstances of the sale make me less willing to buy. In particular‚ both Universal and the federal government think that American’s acquisition creates antitrust issues. If this is the case‚ American could use its market power to change the nature of the market and make Dixon’s new plant unprofitable by setting lower prices for sodium chlorate in its other plants. On the other hand‚ the circumstances make me more willing to buy the assets
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Unit 1 Case Study: 3. The dilemma I face now is to inform all the investors of the inaccurate information the accountant provided and that in fact‚ the team is losing money. The biggest problem is that no one should be receiving a check for their investments. The team is surprisingly operating with a loss yet investors are getting paid. The season ticket revenue does not provide reliable information to an outsider because revenue would not be placed until 2009. The $100‚000 advertising revenue
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The Power of Love in Sonnets by Petrarch‚ Surrey and Wyatt Francesco Petrarch‚ Sir Thomas Wyatt and Henry Howard‚ the Earl of Surrey were three of the greatest poets in history. They were truly visionaries in their work and with their origination of the sonnet‚ they crafted poems of love in all its incredible forms. With these poets‚ we are able to see how the sonnet evolved into the form popularized by Shakespeare and even how it still influences the modern poetry of today. Petrarch‚ known
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– A 50-year-old male was referred to the emergency eye clinic at East Surrey Hospital in Canada Avenue for a history of three-day deteriorating bilateral eye pain‚ redness and quick reduction of visual acuity in the past 24 hours. The patient had no past medical or ocular history. The patient visual acuities (VA) were a light perception (LP) in the right eye (RE) and a hand movement (HM) in the left eye (LE). – The patient was a contact lens wearer and got the daily disposable soft (silicone hydrogel)
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[1] Review Exhibits 1 and 2; audit memos G 3‚ and G 4; and audit schedules G 5‚ G 6-1‚ and G 6-2. Based on your review‚ answer each of the following questions: [a] Why are different materiality bases considered when determining planning materiality? Financial information is prepared for multiple users for different purposes and thus not all elements of the financial statements are equally relevant to all users. For example‚ stockholders will be more concerned with long-term revenue and profit growth
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Planning Materiality c a S eS inc lu de d in t hiS Se ction 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7.1 Anne Aylor‚ Inc. 229 Determination of Planning Materiality and Tolerable Misstatement ot he r c aSe S t h at diScuSS topicS related to thiS Section 5.6 Scoping and Evaluation Judgments in the Audit of Internal Control over Financial Reporting 12.1 EyeMax Corporation . . Evaluation of Audit Differences . . . . . . . . . . . . . . . . . . . . . . . Sarbox
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Accounting 732 Audit II 9/25/2012 Anne Aylor Inc. A. Why are different materiality bases considered when determining planning materiality? Different materiality bases are considered when determining planning materiality because the magnitude and nature of financial statement misstatements or omissions have different influences on different financial statement users. For example‚ investors are more interested in the accuracy of numbers involving net income because they are mainly concerned
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