You are conducting the audit of Superior Company as of December 31, 2014. The fo

Question

You are conducting the audit of Superior Company as of December 31, 2014. The following accounts receivable confirmations were sent out by you and returned to you from Superior’s customers. Based on the customer’s comments indicate what action you would take.

January 15, 2015

Hall Enterprises, Inc.

35 Green Street

Bridgeport, Ct. 06203

Dear Mr. Hall,

Our auditor, Miller, CPA, is currently auditing our financial statements. To facilitate that audit, please confirm the balance due us as of December 31, 2014 which is shown on our records as $24,000. Indicate in the space below whether this is in agreement with your records. If there are exceptions please provide information please provide any information that will assist our auditors in reconciling the difference.

Please mail your reply directly to Miller, CPA. A stamped, self addressed envelope is enclosed for your convenience.

James Blake

James Blake

Controller

Superior Company

To Miller, CPA:

    The amount shown above is correct as of December 31, 2014, except as follows:

Note to files-this confirmation was returned by the postal service as return to sender-no such address this location. John Hancock staff auditor

Explanation / Answer

The written request will be sent to other constumers to confirm the closing balances in with the entity

As the customer gave positive request so actions are required from auditors part

Related Questions

Navigate

• Browse (All)
• Browse Y
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.