Discussion: Board of Director’s financial presentation

Discussion: Board of Director’s financial presentation ORDER NOW FOR CUSTOMIZED AND ORIGINAL ESSAY PAPERS ON Discussion: Board of Director’s financial presentation It is presentation more then 10 slides. Activity: Your accounting firm, Pennypacker & Vandelay, LLC, has been asked by the Chairman of Harris Memorial Hospital and Harris Community Foundation to attend the annual board meeting to present the report of the Independent Auditors. The purpose of the presentation is to give the Board the financial highlights of the annual financial statements and advise them of any unusual events both current and in the foreseeable future that might impact the overall financial statements. The managing partner of the firm has asked you as a Director in the Health Advisory Department to make the presentation to the board. Discussion: Board of Director’s financial presentation appendix_9_a.pdf eample_of_final_exam_2.pptx examle_of_final_exam_1.pptx expiliation_of_the_finial_exam_.pdf explination_of_opinion Financial Statements – Opinion Paragraph (1) Opinion Paragraph – The opinion paragraph of the auditors’ report- usually the third, and final paragraph– states the auditors conclusion reached from the work performed. The auditor’s opinion represents the judgment made after evaluating evidence about the assertions implicit in the financial statements; the phrase “in our opinion” is intended to convey this element of judgment, as opposed to a statement of fact. The conclusion the auditor reaches in most audits of financial statements is that the financial statements “present fairly”…in conformity with general accepted accounting principals”. The opinion illustrated here is technically called an unqualified opinion – that is, it is not qualified by an exception. A less technical term for an unqualified opinion is a “clean” opinion. Although authoritative AICPA literature describes other types of opinions (qualified, adverse, and disclaimer of opinions), the usual expectation is that the auditor will be able to render a positive, unqualified opinion. Anything less is usually undesirable, and often unacceptable either too the client or to regulatory bodies (the SEC will not permit a company listed on the exchange to have an adverse opinion). Qualified Opinion – thee are two reasons for qualifying an opinions: limitations on the scope of the audit and departures from GAAP. Adverse Opinions – an adverse opinion expresses a belief that financial statements are not presented fairly in conformity with generally accepted accounting principals other wise do no present fairly what they purport to present. It is required when an auditor believes that one or more departures from GAAP re sufficiently material to make the statements as a whole misleading. Disclaimer of Opinion – if an auditor does not have enough evidence to form an opinion, the appropriate form of report is a disclaimer of opinion. A disclaimer can result from an inability to obtain sufficient competent evidential matter because the scope of the audit was seriously limited. The AICPA also requires the auditor to evaluate whether there is substantial doubt about the entity’s ability to continue as a going concern for a reasonable period of time. (This period is not to exceed one year beyond the date of the financial statements.) If substantial doubt exists about the company continuing as a going concern, the auditor adds to the report an explanatory note describing the potential problem (statement on Auditing Standards No. 59). Discussion: Board of Director’s financial presentation (1) Montgomery’s Auditing, O’Reilly, Hirsch, Defliese, Jaenicke…1990/Intermediate Accounting, 12 th Edition, Kieso, Weygandt, Warfield Get a 10 % discount on an order above $ 100 Use the following coupon code : NURSING10