Scribd Logo
Upload

Welcome to Scribd!

  • 287 views

    Apollo Planning

    Uploaded by

    Flavia Borja
    This mini-case involves completing audit planning procedures for Apollo Shoes. The engagement manager Darlene Wardlaw has provided the audit in-charge with background documents on Apollo Shoes and instructions to familiarize themselves with the company. The in-charge is asked to review Apollo's prior year 10-K, answer questions about significant accounts and assertions, and complete the highlighted steps in the audit program. Upon finishing the assigned tasks, the in-charge will update the relevant workpapers and planning binder for Apollo Shoes.

    Copyright:

    © All Rights Reserved
    Download as XLS, PDF, TXT or read online from Scribd

    Apollo Planning

    Uploaded by

    Flavia Borja
    287 views8 pages
    This mini-case involves completing audit planning procedures for Apollo Shoes. The engagement manager Darlene Wardlaw has provided the audit in-charge with background documents on Apollo Shoes and instructions to familiarize themselves with the company. The in-charge is asked to review Apollo's prior year 10-K, answer questions about significant accounts and assertions, and complete the highlighted steps in the audit program. Upon finishing the assigned tasks, the in-charge will update the relevant workpapers and planning binder for Apollo Shoes.

    Copyright

    © © All Rights Reserved

    Available Formats

    XLS, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    This mini-case involves completing audit planning procedures for Apollo Shoes. The engagement manager Darlene Wardlaw has provided the audit in-charge with background documents on Apollo Shoes and instructions to familiarize themselves with the company. The in-charge is asked to review Apollo's prior year 10-K, answer questions about significant accounts and assertions, and complete the highlighted steps in the audit program. Upon finishing the assigned tasks, the in-charge will update the relevant workpapers and planning binder for Apollo Shoes.

    Copyright:

    © All Rights Reserved
    Download as XLS, PDF, TXT or read online from Scribd
    Download as xls, pdf, or txt
    287 views8 pages

    Apollo Planning

    Uploaded by

    Flavia Borja
    This mini-case involves completing audit planning procedures for Apollo Shoes. The engagement manager Darlene Wardlaw has provided the audit in-charge with background documents on Apollo Shoes and instructions to familiarize themselves with the company. The in-charge is asked to review Apollo's prior year 10-K, answer questions about significant accounts and assertions, and complete the highlighted steps in the audit program. Upon finishing the assigned tasks, the in-charge will update the relevant workpapers and planning binder for Apollo Shoes.

    Copyright:

    © All Rights Reserved
    Download as XLS, PDF, TXT or read online from Scribd
    Download as xls, pdf, or txt
    of 8

    Apollo Planning Audit Mini Case

    In this mini-case you will perform some procedures required as part of audit planning. For ease your audit manager has already
    workpapers and completed several of the required workpapers.
    Instructions:

    Read and respond to the email from your manager, then read the steps in the audit program found on Work Paper A-0 and fami
    the other planning section work papers. Complete all the steps on the audit program instructed by your manager.

    When you are finished with the items on the workpaper enter your initials in the box in the top right marked "Prepared By"

    This entire completed workbook should be renamed as PLAN_Firstname_Lastname and uploaded.


    Date: 21 OCT 2020 00:42:35 +0000
    From: "Darlene Wardlaw" <[email protected]>
    Subject: Upcoming Apollo Shoes Engagement
     
     
    Well, first let me congratulate you on your recent promotion. Although we have not worked on an engagement togeth
    before, I have heard many good things about you. I look forward to working with you on the new Apollo Shoes engag
    Things have already gotten started so you’ll see that I’ve done quite a bit of the work but I really need your help. I hav
    client acceptance form on my desk but I haven't put it in the binder yet.

     
    I understand that this is your first engagement to work as an in-charge. Arnold Anderson will be the engagement partn
    is pretty sharp so you’ll have to stay on your toes. As engagement manager, I’ll try to help out as much as I can. Und
    however, that I am managing four other busy season engagements, so my interaction time with you will be limited. T
    Crump is the staff associate assigned to the audit. For now, I want you to familiarize yourself with Apollo Shoes. I ask
    Taylor to complete a materiality memo, but it may be useful for you to do it as well as a way to get familiar with Apol
    have a few questions for you to answer, it may seem basic but I find its the best way to get your feet underneath you. I
    included all necessary documents in the binder.

    Read over the 2019 10-K then please answer the following questions:
    1) List three relevant facts about Apollo Shoes that you think might have an impact on the financial statement audit. 
    2) Define what is meant by a significant account or disclosure.
    3) Identify at least two significant accounts or disclosures from the financial statements of Apollo Shoes. What makes
    item significant?
    4) Define what is meant by a relevant assertion. 
    5) Identify at least one relevant assertion for each of the significant accounts or disclosures previously identified from
    financial statements of Apollo Shoes. What makes each assertion relevant?

    You can write up your thoughts and answers in an email, then send it to me (response form below).

    I have addressed a good portion of things on the planning program, I've highlighted in yellow anything I need you t
    address.

    Finally, since most of our interaction will be by e-mail, please forgive me if I give you too much detail. Since we hav
    worked together before, I’d rather give you too much than too little until we get used to working together.

     
    DW

    Date: 30 OCT 2020 14:42:35 +0000


    To: "Darlene Wardlaw" <[email protected]>
    Subject: Apollo Shoes Familiarity

    Darlene,
    I have read over the Apollo PY 10-K and below are the responses to the questions you suggested:

    1) List three relevant facts about Apollo Shoes that you think might have an impact on the financial statement audit.

    1. Existence
    2. Occurence
    Subject: Apollo Shoes Familiarity

    Darlene,
    I have read over the Apollo PY 10-K and below are the responses to the questions you suggested:

    1) List three relevant facts about Apollo Shoes that you think might have an impact on the financial statement audit.

    1. Existence
    2. Occurence
    3. Exist
     
    2) Define what is meant by a significant account or disclosure.
    As per PCAOB, section A10.   An account or disclosure is a significant account or disclosure if there is a reasonable
    possibility that the account or disclosure could contain a misstatement that, individually or when aggregated with ot
    a material effect on the financial statements, considering the risks of both overstatement and understatement. The
    determination of whether an account or disclosure is significant is based on inherent risk, without regard to the effec
    controls.

    3) Identify at least two significant accounts or disclosures from the financial statements of Apollo Shoes. What makes
    item significant?

    Inventory
    Notes receivables

    4) Define what is meant by a relevant assertion. 


    List of managements financial statements assertion and some of the key questions the audit team must address.

    5) Identify at least one relevant assertion for each of the significant accounts or disclosures previously identified from
    financial statements of Apollo Shoes. What makes each assertion relevant?

    -PCAOB Assertions:Existence or occurrence, Completeness, Valuation or allocation, Rights and Obligations


    -Assertion about events and transactions: Occurence, Cutoff, accuracy, classification
    -Assertion about Account Balances:Existence, Completeness, valuation and allocation, rights and obligations
    -Assetion about Presentation and footnote disclosure:Accuracy, rights and obligation, classification, completeness
    These emails are NOT
    workpapers. Rather they are
    useful communications for
    completing your case. They do not
    get a workpaper reference.
    on an engagement together
    e new Apollo Shoes engagement.
    eally need your help. I have the

    ll be the engagement partner; he


    out as much as I can. Understand,
    ith you will be limited. Taylor
    f with Apollo Shoes. I asked
    to get familiar with Apollo. I
    our feet underneath you. I have

    nancial statement audit. 

    pollo Shoes. What makes each

    previously identified from the

    orm below).

    ow anything I need you to

    much detail. Since we haven’t


    king together.

    ested: THIS IS THE PART YOU COMPLETE!!

    nancial statement audit.


    ested:

    nancial statement audit.

    e if there is a reasonable


    when aggregated with others, has
    nd understatement. The
    without regard to the effect of

    pollo Shoes. What makes each

    eam must address.

    previously identified from the

    and Obligations

    s and obligations
    ication, completeness
    Apollo Shoes, Inc. A-0
    AUDIT PLAN-FLAVIA BORJA
    FYE 12/31/2020
    Workpaper Performed
    Related Assertion (s) Comments
    Reference by
    1
    The PY 10K is included in the
    Review correspondence files, prior year audit workpapers at A-3, the PY workpapers
    workpapers, permanent files, financial statements and NA DW are not available per Apollo. See board
    auditor's reports. of director meeting minutes for more
    information A-3.
    2
    3
    4
    5

    Review the minutes of the board of directors and


    committee meetings for the year and any new
    agreements, leases, contracts, or other important
    documents. Obtain copies of the minutes or
    A-3
    agreements for the current or permanent workpaper
    files. Highlight matters relevant to the related
    audit area or for which disclosure will be required
    in the financial statement or notes.
    6
    Apollo Shoes, Inc
    2019 10-K and assorted documents
    31-Dec-20

    This WP includes several documents


    considered critical to the audit planning
    Apollo 2019 10-K process.
    Apollo 2019 10-K

    The following items are noted by the


    auditor to be of significance to the audit:

    A - item one...
    B - item two...
    Apollo CEO Letter to
    C - item three...
    Shareholders CEO Letter to
    Shareholders

    Apollo Organization
    Chart Apollo Org Chart

    Board of Directors and


    Audit Committee
    BOD Meeting
    Meeting Minutes
    Minutes

    Email from CAE and


    info about new Info about new IT
    computer system system
    A-3
    Prepared by: DW/
    Reviewed by:

    des several documents


    ical to the audit planning

    items are noted by the


    significance to the audit:

    You might also like