Carewell Connections

Date:March 9, 20X0 To: take stock Manager From: Ryan OLeary RE: Audit Plan C arewell Connections (Canada) Ltd. (CCC) Information has recently come to my attending from a former CCC employee that might affect the inventory plan regarding CCC. As planning for this audit is scheduled to suffer get through next week, I would like to act it to your attention. We have well-educated from the Vancouver office that CCC might be having capital bleed issues as there have been just ab pop forth employees laid off and severance packages were pay. A nonher piece of education learned was that at least one of the severance packages paid was paid by Worldwide Connections Inc. Effect on Audit Plan Audit guess of CCC should be reassessed in regard to the cash bunk problems as there could be a going stir issue or perchance reporting discontinued opeproportionns if this employee and others laid off were part of a specific division. excess substantive au dit procedures should be carried out to ensure inter friendship minutes are being dealt with properly as the severance payments were paid by Worldwide, we must ensure that these are recorded correctly in the books. A walkthrough should be carried out regarding the payroll wheel around to make sure each amounts are correctly recorded.

pecuniary proportions Specific monetary ratios that should be looked at during the audit that would be indicative of a cash flow concern include, except are not particular(a) to: Quick Ratio Current Ratio Debt reporting Ratio Receivables Turnover Ratio These rat ios should help determine whether or not the! entity has becoming cash or liquid assets to meet their obligations. Should the company be having cash flow issues, additional disclosure in the financial rumors may be required. This would be the case if a ratio was in violation of a banking agreement or debt cartel and the debt could then be called at any time, financial statement users would need to be aware of this. Ethical Issues The Vancouver office...If you lack to get a full essay, order it on our website: OrderCustomPaper.com

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