WEEK 1?Auditor’s Role and Responsibilities” Please respond to the following:1. Compare the primary..

WEEK 1″Auditor’s Role and Responsibilities” Please respond to the following:1. Compare the primary auditor objectives in auditing historical financial statements to auditing internal controls over financial reporting. Identify at least two (2) objectives that are the most significant in reducing the risk of reporting errors or misstatements in financial statements. Provide a rationale for your response.2. Create a scenario where it would be acceptable for an external auditor to accept an audit engagement without having knowledge of a client’s business environment. Ascertain the key legal ramifications and risk mitigation strategies associated with an auditor performing the audit. Support your position.WEEK 2″Auditor Accountability”Please respond to the following:From the e-Activity, discuss the departures from generally accepted accounting principles (GAAP) that you have researched, and give your opinion as to whether or not the Public Company Accounting Oversight Board (PCAOB) should levy sanctions against the CPA firm for issuing the unqualified report. Identify the sanctions and section of the report the company should have modified to address departures from GAAP. Support your position.Compare the code of professional conduct for CPAs to the code of professional conduct for accountants who are non-CPAs. Determine the major ethical issues created by the mergers of public accounting firms with non-CPA firms that perform accounting services. Explain your rationale.WEEK 4″Evidence Collection Procedures”Please respond to the following:According to an article in the CPA Journal, the auditor considers reliability of audit evidence collected and the reliability of that evidence to reduce the risk of financial statements containing undetected material errors. Compare and contrast at least two (2) types of evidence, and make a recommendation as to which you believe is the most reliable in reducing risk. Support your position.From the e-Activity, analyze the primary ways in which auditors would use the information from downgrades to assess business risk or evaluate the likelihood that the downgrades would impact the auditor’s assessment of the client’s business environment. Ascertain the major ways in which this information would impact the audit risk model equation. Support your position.week 3week 3″Audit Risks” Please respond to the following:From the e-Activity, analyze whether or not investors who were misled by relying on financial statements could hold the audit firm liable for audit failure either by common or securities laws. Provide a rationale for your response.According to an article in the CPA Journal, the accounting profession has long contended that an audit conducted in accordance with generally accepted auditing standards (GAAS) provides reasonable assurance that there are no material misstatements contained within financial statements. Suggest at least two (2) alternative methods that auditors can use to provide a more concrete level of assurance to investors. Provide support for your responses with examples of such methods in use.WEEK 5Minimizing Audit Risk” Please respond to the following:· According to the text, auditors have to make judgments concerning materiality on every audit. Since the auditing standards give no formal guidance for how to determine materiality, auditors must rely on their own experience. Determine at least two (2) qualitative factors that affect the auditor’s judgment. Provide a rationale for your response.· According to the text, auditors rely on the audit risk formula to determine the types and amount of audit evidence to collect in order to keep the overall audit risk of engagements to a minimum or below defined tolerable limits. Suggest an alternative to the audit risk equation in order to mitigate audit risk. Support your rationale with examples of the successful use of the alternative strategy.WEEK 9″Testing Methods” Please respond to the following:According to the text, to minimize the risk of material misstatement, auditors seek third- party verification of account balances by mailing customers their statements. Discuss the advantages of positive and negative confirmations, and ascertain whether or not email and oral confirmations are acceptable to increase customer response rates. Support your position.Discuss the difference between substantive test of transactions and substantive test of balances, and identify at least two (2) situations when an auditor should test account balances. Support your rationale with related examples of such circumstances.WEEK 1O”Audit Wrap-Up” Please respond to the following:Create a scenario that demonstrates specific ways in which management could manipulate transactions impacting inventory values that the auditing team might not detect. Recommend key strategies that the auditor could implement in anticipation of such manipulation. Justify your response.Discuss the difference between a subsequent event and a subsequent discovery of facts, and determine the auditor’s responsibility for each event after the audit report is complete. Support your position.WEEK 11″Reflections” Please respond to the following:Analyze at least three (3) concepts that you found eye opening that you were not aware of before taking this course.Discuss your career goals and how taking this course shaped your decision to pursue a career in the auditing profession.WEEK 7week 7″Audit Risk and Fraud” Please respond to the following:Create a scenario in which a company conceals financial fraud from the auditing firm through the use of information technology, and suggest at least one (1) way in which an auditing firm can minimize its exposure to this risk.According to the text, planning an audit involves establishing the overall audit strategy for the engagement and developing an audit plan in an attempt to reduce audit risk to an acceptable level. Select a balance sheet account or income statement account, and discuss the type of audit procedure that would produce the most reliable evidence for that account balance. Defend your position.week 6″Management and Internal Control”Please respond to the following:Create a scenario where external auditors determined that a company’s internal controls were deficient, but such a deficiency might not mean that a material weakness existed. Ascertain the impact on the audit plan if additional deficiencies are discovered on other related internal controls. Support your position.From the e-Activity, identify the accounts that the fraud had affected, and analyze the auditor’s responsibility to detect fraud. Suggest key internal controls that would have either prevented or detected the fraudulent behavior or transactions. Justify your response.week 8″Internal Controls and Sampling Strategy” Please respond to the following:Imagine that you have been hired to audit the sales and collections of a medium to large merchandising company. Suggest at least two (2) ways that management could manipulate earnings, and make specific recommendations for the internal control procedure to prevent or detect the transaction. Justify your response.Discuss the advantages and disadvantages of at least two (2) sampling methods. Make a recommendation for the best method to sample accounts receivables. Support your position.homeworkWEEK 1Click the link above to submit your assignment.Chapter 1: Problems 1-17(a-e), 1-19(a-b), and 1-22(a-c)Chapter 2: Problems 2-18(a-e), 2-20(a-e),and 2-22(a-h)WEEK 2Click the link above to submit your assignment.Chapter 3: Problems 3-25(a-c), 3-28(a-c), and 3-31Chapter 4: Problems 4-20(a-f), 4-23(a-d), and 4-26(a-d)WEEK 3Click the link above to submit your assignment.Chapter 5: Problems 5-18, 5-20(a-d), and 5-22(a-e)Chapter 6: Problems 6-23(a-b), 6-25, and 6-32(a-g)WEEK 4Click the link above to submit your assignment.Chapter 7: Problems 7-29(a-g) and 7-33(a-b)Chapter 8: Problems 8-29(a-d) and 8-32(a-b)week 9 homeowrkClick the link above to submit your assignment.Chapter16: Problems 16-22(a-c), 16-26(a-e), and 16-33(a-c)Chapter 17: Problems 17-28(a-c), 17-31( a-e), and 17-33(a-c)WEEK 7Click the link above to submit your assignment.Chapter 12: Problems 12-18(a-d), 12-20(a-d), and 12-24(a-b)Chapter 13: Problems 13-23(a-d), 13-24(a-b), and 13-27(a-c)WEEK 8Click the link above to submit your assignment.Chapter 14: Problems 14-23(a-c) and 14-26(a-c)Chapter 15: Problems€€€€ 15-24(a-c) and 15-28(a-f)WEEK 6week 6Click the link above to submit your assignment.Chapter 10: Problems 10-34(a-b), 10-36(a-c), and 10-38(a-d)Chapter 11: Problems 11-24(a-d), 11-27(a-c), and 11-30(a-c)WEEK 10WEEK 1O HOMEWORKlick the link above to submit your assignment.Chapter 21: Problems 21-28(a-d), 21-29(a-d), and 21-30(a-b)Chapter 24: Problems 24-26(a-c), 24-29(a-d), and 24-32(a-b)finalAcc403 final part 1• Question 16 out of 6 pointsAuditors frequently refer to the terms audit assurance, overall assurance, and level of assurance to refer to ________.• Question 26 out of 6 pointsIf an auditor believes the chance of financial failure is high and there is a corresponding increase in business risk for the auditor, acceptable audit risk would likely:• Question 36 out of 6 pointsIf it is probable that the judgment of a reasonable person will be changed or influenced by the omission or misstatement of information, then that information is, by definition of FASB Statement No. 2:• Question 46 out of 6 pointsWhen auditors allocate the preliminary judgment about materiality to account balances, the materiality allocated to any given account balance is referred to as:• Question 56 out of 6 pointsWhen the auditor is attempting to determine the extent to which external users rely on a client’s financial statements, they may consider several factors exceptfor:• Question 66 out of 6 pointsInternal controls can never be regarded as completely effective. Even if company personnel could design an ideal system, its effectiveness depends on the:• Question 76 out of 6 pointsIn performing the audit of internal control over financial reporting the auditor emphasizes internal control over class of transactions because:• Question 86 out of 6 pointsWhen considering internal controls, an important point to consider is that:• Question 96 out of 6 pointsNarratives, flowcharts, and internal control questionnaires are three common methods of:• Question 106 out of 6 pointsThe employee in charge of authorizing credit to the company’s customers does not fully understand the concept of credit risk. This lack of knowledge would constitute:• Question 116 out of 6 pointsAnalytical procedures can be very effective in detecting inventory fraud. Which of the following analytical procedures would not be useful in detecting fraud?• Question 126 out of 6 pointsFinancial statement manipulation risk is arguably present for all companies’ financial statements. However, the risk is elevated for companies that:• Question 136 out of 6 pointsWhich party has the primary responsibility to oversee an organization’s financial reporting and internal control process?• Question 146 out of 6 pointsWho is most likely to perpetrate fraudulent financial reporting?• Question 156 out of 6 pointsWhich of the following would the auditor be most concerned about regarding a heightened risk of intentional misstatement?• Question 166 out of 6 pointsAn example of a physical control is:• Question 176 out of 6 pointsThe audit approach in which the auditor runs his or her own program on a controlled basis to verify the client’s data recorded in a machine language is:• Question 186 out of 6 pointsWhich of the following describes the process of implementing a new system in one part of the organization, while other locations continue to use the current system?• Question 196 out of 6 pointsA ________ total represents the summary total of codes from all records in a batch that do not represent a meaningful total.• Question 206 out of 6 pointsThe continued integration of IT in accounting systems can impact a company by:• Question 216 out of 6 pointsWhich of the following audit tests is usually the least costly to perform?• Question 226 out of 6 pointsThe purpose of tests of controls is to provide reasonable assurance that the:• Question 236 out of 6 pointsMany auditors perform extensive analytical procedures on audits because:• Question 246 out of 6 pointsA system walkthrough is primarily used to help the auditor:• Question 256 out of 6 pointsAnalytical procedures:Part 2Instructions This final exam consists of 25 multiple choice questions and covers the material in Chapters 14 through 17, 21, and 24. There are five questions from each chapter.• Question 16 out of 6 pointsBefore goods are shipped on account, a properly authorized person must:• Question 26 out of 6 pointsWhat critical event must take place before goods can be shipped in order to assure payment can be reasonably expected?• Question 36 out of 6 pointsThe document that requires adjustments to the customers subsidiary ledger account is the:• Question 46 out of 6 pointsA document prepared to initiate shipment of the goods sold by an independent shipper is the:• Question 50 out of 6 pointsWhat event initiates a transaction in the sales and collection cycle?• Question 66 out of 6 pointsAuditors often use the ________ to determine the estimated population exception rate.• Question 76 out of 6 pointsWhen the auditor decides to select less than 100 percent of the population for testing, the auditor is said to use:• Question 86 out of 6 pointsRodgers CPA believes that the rate of client billing errors is 4% and has established a tolerable deviation rate of 6%. In auditing client invoices Rodgers should use:• Question 96 out of 6 pointsWhich of the following would have the least impact in determining sample size?• Question 106 out of 6 pointsWhich of the following occurrences would be least likely to warrant further audit attention for the auditor?• Question 116 out of 6 pointsThe most effective audit evidence gathered for accounts receivable is the:• Question 126 out of 6 pointsWhich of the following most likely would be detected by a review of a client’s sales cutoff?• Question 136 out of 6 pointsAnalytical procedures:• Question 146 out of 6 pointsWhen do most companies record sales returns and allowances?• Question 156 out of 6 pointsTests of which balance-related audit objective are normally performed first in an audit of the sales and collection?• Question 166 out of 6 pointsThe risk the auditor is willing to take of accepting a balance as correct when the true misstatement in the balance under audit is greater than the tolerable misstatement is:• Question 176 out of 6 pointsThe client’s trial balance has a balance of $410,000 for merchandise inventory. As the auditor you are willing to accept a balance that is within $20,000 of either side of the recorded balance. You compute a 95% confidence interval of $395,000 to $425,000. You could therefore:• Question 186 out of 6 pointsOne of the steps involved in planning the sample for the tests of details of balances is to:• Question 196 out of 6 pointsWhen the sample selection is done using probability proportional to size sample selection (PPS):• Question 206 out of 6 pointsWhen defining the population and the sampling unit for tests of details of balances:.• Question 216 out of 6 pointsFrom which of the following evidence-gathering audit procedures would an auditor obtain most assurance concerning the existence of inventories?• Question 226 out of 6 pointsComparing the physical counts with the perpetual inventory master files satisfies the balance-related audit objective of:• Question 236 out of 6 pointsAuditor tests of the physical controls over raw materials, work in process, and finished goods are generally limited to:• Question 246 out of 6 pointsBoxes or other containers holding inventory should also be opened during test counts to determine the ________ of the inventory.• Question 256 out of 6 pointsThe audit tests to verify that the client is using an inventory method which is generally accepted and to verify that physical counts were correctly summarized are performed during the audit of the:• Question 266 out of 6 pointsThe auditor’s primary concern relative to presentation and disclosure-related objectives is:• Question 276 out of 6 pointsWhich of the following subsequent events is most likely to result in an adjustment to a company’s financial statements?• Question 286 out of 6 pointsWhen communicating with the audit committee and management:• Question 296 out of 6 pointsAt the completion of the audit, management is asked to make a written statement that it is not aware of any undisclosed contingent liabilities. This statement would appear in the:• Question 306 out of 6 pointsWhile there is no professional requirement to do so on audit engagements, CPAs frequently issue a formal “management” letter to clients. The primary purpose of this letter is to provide:midterm• 5 out of 5 pointsThe most common way for users to obtain reliable information is to:• Question 25 out of 5 pointsWhich of the following is not a SysTrust Services principle as defined by the AICPA?• Question 35 out of 5 pointsOne objective of an operational audit is to:• Question 45 out of 5 pointsAn accountant:• Question 50 out of 5 pointsAny service that requires a CPA firm to issue a report about the reliability of an assertion that is made by another party is a(n):• Question 65 out of 5 pointsThe three requirements for becoming a CPA include all but which of the following?• Question 75 out of 5 pointsWhich of the following is an element of the CPA’s quality control system that should be considered in establishing its quality control policies and procedures?• Question 85 out of 5 pointsWhich of the following statements best describes the primary purpose of Statements on Auditing Standards?• Question 95 out of 5 pointsWhich of the following is not one of the responsibilities of an auditor under the principles underlying an audit?• Question 105 out of 5 pointsWithin the context of quality control, the primary purpose of continuing professional education and training activities is to enable a CPA firm to provide its personnel with:• Question 115 out of 5 pointsStatements on Standards for Accounting and Review Services are issued by the:• Question 125 out of 5 pointsThe purpose of establishing quality control policies and procedures to accept or continue a client relationship is to:• Question 135 out of 5 pointsWhenever the client imposes restrictions on the scope of the audit, the auditor should be concerned that management may be trying to prevent discovery of misstatements. In such cases, the auditor will likely issue a:.• Question 145 out of 5 pointsIf the phrase “except for” is present in the opinion paragraph of the audit report, the auditor has issued a(n):• Question 155 out of 5 pointsAuditing standards for public companies are established by the:• Question 165 out of 5 pointsA CPA may wish to emphasize specific matters regarding the financial statements even though an unqualified opinion will be issued. Normally, such explanatory information is:.• Question 175 out of 5 pointsWhen there is uncertainty about a company’s ability to continue as a going concern, the auditor’s concern is the possibility that the client may not be able to continue its operations or meet its obligations for a “reasonable period of time.” For this purpose, a reasonable period of time is considered not to exceed:• Question 185 out of 5 pointsIf most or all users’ decisions that are based on the financial statements are likely to be significantly affected, the materiality level is:• Question 190 out of 5 pointsOf the four parts of the AICPA’s Code of Professional Conduct, which part is enforceable?• Question 205 out of 5 pointsA CPA firm may charge a contingent fee for:• Question 215 out of 5 points________ means that a person acts according to conscience, regardless of the situation.• Question 225 out of 5 pointsFreedom from ________ means the absence of relationships that might interfere with objectivity or integrity.• Question 235 out of 5 points”Independence” in auditing means:• Question 245 out of 5 pointsWhich of the following is required for a firm to designate itself “Member of the American Institute of Certified Public Accountants” on its letterhead?• Question 255 out of 5 pointsThe AICPA’s Code of Professional Conduct states that a CPA should maintain integrity and objectivity. The term “objectivity” in the Code refers to a CPA’s ability to:• 5 out of 5 pointsThe standard of due care to which the auditor is expected to adhere to in the performance of the audit is referred to as the:• Question 25 out of 5 pointsA broad interpretation of the rights of third-party beneficiaries holds that users that the auditor should have been able to foresee as being likely users of financial statements have the same rights as those with privity of contract. This is known as the concept of:• Question 35 out of 5 pointsIf an auditor fails to fulfill a certain requirement in the contract, they may be guilty of:• Question 45 out of 5 pointsThe preferred defense in third party suits is:• Question 55 out of 5 pointsWhich of the following auditor’s defenses usually means nonreliance on the financial statements by the user?• Question 65 out of 5 pointsLaws that have been passed by the U.S. Congress and other governmental units are:• Question 75 out of 5 pointsWhich of the following would most likely be deemed a direct-effect illegal act?• Question 85 out of 5 pointsManagement assertions are:• Question 95 out of 5 pointsIn certifying their annual financial statements, the CEO and CFO of a public company certify that the financial statements comply with the requirements of:• Question 105 out of 5 pointsIn testing for cutoff, the objective is to determine:• Question 115 out of 5 pointsThe objective of an audit of the financial statements is an expression of an opinion on:• Question 125 out of 5 points”The auditor should not assume that management is dishonest, but the possibility of dishonesty must be considered.” This is an example of:• Question 135 out of 5 pointsAn example of a document the auditor receives from the client, but which was prepared by someone outside the client’s organization, is a:• Question 145 out of 5 pointsAudit evidence has two primary qualities for the auditor; relevance and reliability. Given the choices below, which provides the auditor with the most reliable audit evidence?• Question 155 out of 5 pointsWhen practical and reasonable, U.S. auditing standards require the confirmation of:• Question 165 out of 5 pointsThe auditor must gather sufficient and appropriate evidence during the course of the audit. Sufficient evidence must:• Question 175 out of 5 pointsWhich of the following statements regarding the relevance of evidence is correct?.• Question 185 out of 5 pointsWhich of the following generally provides the most reliable evidence?• Question 195 out of 5 pointsWhen the auditor develops supporting evidence for amounts posted to account balances with documentary evidence, that process is called:• Question 205 out of 5 pointsThe preliminary audit strategy:• Question 215 out of 5 pointsThe two major factors affecting acceptable audit risk are:• Question 225 out of 5 pointsBusiness risk:• Question 235 out of 5 pointsWritten communication that the auditor will provide reasonable assurance for the detection of fraud is found in:• Question 245 out of 5 pointsWhich of the following normally signs the engagement letter for an audit of a private company?• Question 255 out of 5 pointsIf an auditor is requested to perform nonaudit services for a public company audit client, who is responsible for agreeing to those services with the audit firm?QUIZESquiz 1Question 12 out of 2 pointsCorrectIn “auditing” financial accounting data, the primary concern is with:Question 22 out of 2 pointsCorrectThe Sarbanes-Oxley Act applies to which of the following companies?Question 32 out of 2 pointsCorrectWhich of the following is not a SysTrust Services principle as defined by the AICPA?Question 42 out of 2 pointsCorrectWhich of the following services provides the lowest level of assurance on a financial statement?Question 52 out of 2 pointsCorrectAn accountant:Question 62 out of 2 pointsCorrectRecording, classifying, and summarizing economic events in a logical manner for the purpose of providing financial information for decision making is commonly called:Question 70 out of 2 pointsIncorrectAny service that requires a CPA firm to issue a report about the reliability of an assertion that is made by another party is a(n):Question 82 out of 2 pointsCorrectThe use of the Certified Public Accountant title is regulated by:.Question 92 out of 2 pointsCorrectThe most common way for users to obtain reliable information is to:Question 102 out of 2 pointsCorrectAn examination of part of an organization’s procedures and methods for the purpose of evaluating efficiency and effectiveness is what type of audit?Question 112 out of 2 pointsCorrectOne objective of an operational audit is to:Question 122 out of 2 pointsCorrectWhich of the following is considered audit evidence?Question 132 out of 2 pointsCorrectAn audit to determine whether an entity is following specific procedures or rules set down by some higher authority is classified as a(n):Question 142 out of 2 pointsCorrectA correct relationship among the auditor, the client, and the external users is:Question 150 out of 2 pointsIncorrectThree common types of attestation services are:Question 162 out of 2 pointsCorrectThe methods used by a CPA firm to ensure that the firm meets is professional responsibilities to clients and others is:Question 172 out of 2 pointsCorrectHansen Corporation’s stock is listed on a national stock exchange and registered with the Securities and Exchange Commission. Hansen’s management hires a CPA to perform an independent audit of Hansen’s financial statements. The primary objective of this audit is to provide assurance to the:Question 182 out of 2 pointsCorrectMembers of the Public Company Accounting Oversight Board are appointed and overseen by:Question 192 out of 2 pointsCorrectThe International Standards on Auditing (ISAs):Question 202 out of 2 pointsCorrectTo obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, the auditor must fulfill several performance responsibilities, including:Question 212 out of 2 pointsCorrectThe legal right to perform audits is granted to a CPA firm by regulation of:Question 222 out of 2 pointsCorrectThe purpose of establishing quality control policies and procedures to accept or continue a client relationship is to:Question 232 out of 2 pointsCorrectThe form that must be completed and filed with the Securities and Exchange Commission whenever a company experiences a significant event that is of interest to public investors is the:Question 242 out of 2 pointsCorrectStatements on Standards for Accounting and Review Services are issued by the:Question 252 out of 2 pointsCorrectFor privately held companies who is responsible for establishing auditing standards?Question 262 out of 2 pointsCorrectStandards issued by the Public Company Accounting Oversight Board must be followed by CPAs who audit:Question 272 out of 2 pointsCorrectThe organization that is responsible for providing oversight for auditors of public companies is called the ________.Question 282 out of 2 pointsCorrectThe “Principles Underlying an Audit in Accordance with Generally Accepted Auditing Principles” provides a framework to help auditors:Question 292 out of 2 pointsCorrectHistorically auditing standards have been organized into three categories, including:Question 302 out of 2 pointsCorrectWhen assessing the risk of material misstatements in the financial statements,quiz 22 out of 2 pointsCorrectWhich of the following is least likely to cause uncertainty about the ability of an entity to continue as a going concern?Question 22 out of 2 pointsCorrectIf most or all users’ decisions that are based on the financial statements are likely to be significantly affected, the materiality level is:Question 32 out of 2 pointsCorrectThe standard unqualified audit report for a non-public entity must:Question 42 out of 2 pointsCorrectThe audit report date on a standard unqualified report indicates:Question 52 out of 2 pointsCorrectThe standard unqualified audit report for public entities includes the following three paragraphs:AnswerQuestion 62 out of 2 pointsCorrectThe auditor’s responsibility section of the standard unqualified audit report states that the audit is designed to:Question 72 out of 2 pointsCorrectAuditing standards for public companies are established by the:Question 80 out of 2 pointsIncorrectThe auditor’s responsibility section of the standard audit report states that the auditor is:Question 92 out of 2 pointsCorrectThe term “explanatory paragraph” was replaced in the AICPA auditing standards with:Question 102 out of 2 pointsCorrectIf the phrase “except for” is present in the opinion paragraph of the audit report, the auditor has issued a(n):Question 112 out of 2 pointsCorrectThe first step to be followed when deciding the appropriate audit report in a given set of circumstances is to:Question 122 out of 2 pointsCorrectItems that materially affect the comparability of financial statements generally require disclosure in the footnotes. If the client refuses to properly disclose the item, the auditor will most likely issue:Question 132 out of 2 pointsCorrectWhen the auditor determines that the financial statements are fairly stated, but there is a nonindependent relationship between the auditor and the client, the auditor should issue:Question 142 out of 2 pointsCorrectA misstatement in the financial statements can be considered material if knowledge of the misstatement will affect a decision of:Question 152 out of 2 pointsCorrectWhenever the client imposes restrictions on the scope of the audit, the auditor should be concerned that management may be trying to prevent discovery of misstatements. In such cases, the auditor will likely issue a:Question 162 out of 2 pointsCorrectThe Sarbanes-Oxley Act ________ a CPA firm from doing both bookkeeping and auditing services for the same public com