'Happiness Express, Inc. Essay\r'

'The primary audit objectives that auditors hope to accomplish by actualiseing the client’s year-end accounts due argon if the purchaser is real and confirms the balance (existence) and that the minutes that should have been were preserve correctly (completeness). Since confirmations go international the firm being audited and ask the customers or vendors to confirm or deny amounts that the comp any(prenominal) is reporting, they also cast off valuation. The confirmation process lets the auditor figure step to the fore if a client even exists and if the correct balances were recorded. The objectives for playing year-end sales cut-off tests is to check into the transactions are recorded in the correct accounting check (timing/cutoff) and that all the recorded transactions should have been recorded and actually took place (completeness/occurrence). Mistakes or errors in vox populi that Coopers & Lybrand may have made in trying to confirm the public violence nomina te in 1995 receivable were notifying Michael Goldman that they were going to seek confirmation from public violence Wee, allowing Goldman to do the follow up contact with Wow Wee when the confirmation wasn’t returned, and not doing any follow-up procedures when they finally did receive a obligingness from Wow Wee, which ended up being construct by Goldberg.\r\nI think these mistakes and errors definitely take up negligence in the part of the auditor for all over involving Goldberg in the process of confirming Wow Wee’s accounts. I also believe they were bold because there seems to be no professional perplexity at play. Wow Wee being a toy manufacturing, not responding to their confirmation requests, and having large orders full the year end did not being full to signal to the auditors that something suspicious is happening is pure recklessness. eventide if it did not seem like fraud manifestly relying on a faxed confirmation was over and beyond negligence. Co opers and Lybrand auditors should have confirmed West Coast Liquidators’ receivables because they accounted for round 13% of Happiness Espress’s accounts receivable and a confirmation would have been the proper way to ensure the existence of those accounts.\r\n'