logo

ABC Learning Centre | Synopsis

   

Added on  2020-03-28

12 Pages3201 Words148 Views
1

SYNOPSISSYNOPSISThe reading has been prepared to understand and communicate the reasons for fall back ofcompany in shorter span after its growth and expansion in operations and revenues. Thestatement has been prepared for ABC Learning Center with intention to identify the causes ofuncertain fall back of the company within short span of time. The other intention in preparationof statement and assessment of causes of fall back is to understand the job and responsibility ofthe management of the company in bringing the company into situation of winding up along withthe responsibility of auditors towards the different stakeholders. The third intention is tounderstand the roles of news rules for Auditors through which the fall back of the company canbe cured or at least stakeholders can be mentally prepared in advance about the riskyperformance of the company with their reporting. The reading has been prepared in accordancewith the identified intentions to help the users of financial reporting. SYNOPSIS.........................................................................................................................................................22

INTRODUCTION.............................................................................................................................................4COMPANY - ABC LEARNING CENTRE.......................................................................................................5INFORMATION ABOUT COMPANY....................................................................................................................5CAUSES FOR FALLBACK...................................................................................................................................5Wrong Accounting Treatment...............................................................................................................................6Corporate Governance letdown.............................................................................................................................7Faults in Auditing...................................................................................................................................................8UNQUALIFIED REPORT BY AUDITOR........................................................................................................................8AUSTRALIAN STANDARD ON AUDITING -701...........................................................................................8CONTENT AND CONDITIONS OF ASA 701 APPLICABILITY........................................................................................9COMMUNICATING THE IMPORTANT AUDIT MATTERS..........................................................................................10Treatment of Intangible Assets in Financial Statements.....................................................................................10Faster pace Growth.............................................................................................................................................10Related Party Transactions..................................................................................................................................10CONCLUSION................................................................................................................................................10RECOMMENDATION...................................................................................................................................11REFERENCES................................................................................................................................................113

INTRODUCTIONAccording to the Global Information, in the years from 2005 to 2014 many majors companies inthe world collapsed due to frauds and material misstatements in the financial reporting. Thefallback of many companies like ABC Learning Center led to Global crisis in the economy in theperiod of 2008 onwards. To understand this, the statement has been prepared with the titleFallback of ABC Learning Center and Key Audit Matters. The title has described the mainintentions for which the statement has been prepared and presented. The fallbacks warn theauthorities regulating the financial reporting and authorities has increased the role andresponsibility of both the management of the company and the auditor of the company beforepresenting any information to any stakeholder. The statement has been prepared with appropriate headings and subheadings which detailed thefull purpose of the statement. The first section of main body describes the information about thecompany and its working along with the deficiencies which led to fallback of the company. Thenext section describes the new developments in the auditing field which enhances the quality ofthe reporting and what can be done in the company to prevent the fallback. The statement hasended with proper conclusion and recommendation. The statement has been prepared using theprimary and secondary source of information available on reliable sources.4

End of preview

Want to access all the pages? Upload your documents or become a member.

Related Documents
ASA 701 - Report On Collapse Of ABC Learning
|12
|3277
|233

ASA 701 - Auditing and Assurance Standards Board
|12
|2863
|58

Assignment On Auditing, Assurance and Services - HI6026
|12
|3214
|219

ASA 701 Communicating Key | Assignment
|13
|2974
|317

ACC707 Auditing Theory and Practice
|12
|3186
|34

ASA701 Auditing Standards
|14
|3336
|128