Audit - Assurance - and Compliance Trimester

The company, Bio Sustainable Feeds Ltd of Australia Is mainly engaged in the research and development process related to different eco-friendly products including fish feed. So far the case study says, the engagement of Bio Sustainable Fish Feeds Ltd in the research of fish feed had faced early setback when their effort towards research of exploring new range of fish feed with the ingredients of earthly items like canola, corn, soya-bean, sunflower, etc. could not be able to produce desired result. To hour their effort with constant endeavor to excel in the field of environmental friendly fish feed had been recognized by Commonwealth Scientific and Industrial Research Organization or CSIRO by extending a grant of AUD 500 million with specific terms and conditions of spending the money in the activity of research on the eco-friendly fish feed  (Morgan, 2015). The company had engaged themselves with further research in this filed of fish feed by exploring the scope of deploying ingredients like wood chips, cane residue or captured methane gas from different sources, which had seen some success in the respective field in the context of feed products increasing the weight of the valuable fishes like salmon, tuna, trout with reasonable satisfactory standard. The respective company will undergo a audit program by a professional audit agency who will undertake the assignment after verifying certain issues like the detection of audit risk, the financial accounting documents and with the context of certification of the claim of the company related to their exclusive patent right and TBL as per GPFS of BSF ltd. As per the standard procedure, the audit firm has to set steps of audit before the assignment is to be started. There are different opinions of fixation of steps of audit for any assignment which is depending upon the volume of documents to be checked and assessing the gravity of the situation which is needed for concluding part through generation of audit report. Steps are basically framed in macro level with planning of audit, conducting audit and conclusion of the audit activity. These steps are divided micro level of activities to be compliant of audit purpose  (Asic, 2016). These steps will be discussed as follows to understand the utility of these steps and the respective outcome these steps can produce to make the final audit report for the stakeholders of the company. The basic requirements of an audit program is to be entertained with the steps of audit program and these preliminary steps are more essential to ensure the accuracy of the audit process and ultimately to provide with the best possible audit report to the process owner and other stakeholders of the company  (Penn, 2016). Planning of audit is divided into different micro aspects which are being appended below: To plan any audit assignment, first to derive by the auditor is to ascertain of the assignment is suitable for the auditors. The identity of an auditor for any assignment is unique and in any case auditor should not get involved with any such assignment which is of material interest. The auditor has to ensure that he is not at all attached to the company by any means with some material interest and except for the purpose of audit, the auditor should not get involved in any sort of such activity which is directing towards any sort of interest of the auditor with the company or any such activity which is related to company other than of audit process. It is also advised to introduce fresh personnel in the audit process to have fresh outlook on the process  (Penn, 2016). To ensure the above point, the auditor and his team should involve themselves in the derivation of the size of the audit process along with the scope of the audit work. To ensure this, there should be an homework to ascertain how the members of the audit team will get involve in the process with the specific time limit to be fixed related to this assignment.   Also it is to be noted if any special investigation is to be done any specific issues which is related to work-intensive. These elements can make the leader of the audit team about fixing the number of team members for successful completion of audit assignment  (Acca, 2016).  Ã‚   Prior to staring the audit process, the team leader should assess the probable areas which may produce potential mistakes which will be caused due to misstatement in the reports of financial accounting system of the company. The right spade of ding this is the highly professional and experienced background of the team leader. This identification process can be done though the knowledge of the company with the past financial statements and as because this is of subjective nature; the team leader should depend upon his self-judgment.   Post the introductory assessment, the auditor has to fix the strategy of undertaken audit assessment by segregating different activities to be done which should include identifying the critical area of interests depending upon which the task assignment is to be made with the factor of time limit by which the job is to be done  (Asic, 2016). It is the execution part of the audit assignment which includes different micro activities like advance intimation, verification of concerned documents, like financial accounting statement and relevant documents, compliance of statutory obligation, reviewing of the audit process and making of draft audit report. It is the first step of conducting audit to place the intimation to the company in which the audit process is to be taken care. The intimation should be in black and white and will contain the start date of the audit process with proposed completion date,   checklist of documents and records pertaining to the financial accounting to be made available for the purpose of audit, well in advance for the period specified for which the audit process will take place  (Mediacongo, 2015). The basic criterion of any audit process is to ensure proper verification of financial accounting documents and records in the form of receipts, payments and the respective entries in journal and ledger. The main job of auditing is to verify the documents provided by the company with proper checking. The documents such ought to be verified are statements, registers and records. While checking the application of mind with the professional knowledge is required for checking and subsequent derivation of judgment. The documents and records are to be substantiated with the respective journal and ledger entries which are instrumental for the process of finalization of accounts; hence this is the most discrete part of the entire audit operation  (Mediacongo, 2015). The statutory obligations for any company arise from the implication of several taxes payable by the company through the generation of business. It is the obligatory part of the company to ensure the payment of taxes and other statutory compliance within specified period; otherwise the company will face liability by penalty and interest, being a defaulter. Hence it is one of the important areas to find out by auditor that the compliance in the said field is properly ensured by the company.   After the audit is over, the generation of financial review report is compulsory with the view of the auditor. The same report is to be forwarded to the management of the company for required clarification in different issues which are found not abiding by the system and the process of the company. Post all these activities, the auditor has to furnish the recommendation which will guide the company to make their strategies to be reviewed or fixed as per the constitution of the company. Violation on any issues must be highlighted with the preferred recommendation of the auditor to get rid of such instances. After all activities related to audit process is over, the auditor ahs to handover the necessary copies to the respective stakeholders with signature. The report is to be signed by the director of the company simultaneously as a token of acceptance of the facts revealed in the audit. With all the above steps to be completed, the audit process comes to an end for any specific financial period of the company concerned. The audit report will be elementary for the company to find out the lacuna of the system adopted by the company with clear and transparent recommendation to avoid those in future so far accounting standard is concerned. When the auditor will take the assignment of BSF Ltd. Preferably these steps will be adopted for a professional audit of the company. Audit risk is a regular feature for determining if the assignment is to be taken or not. There are three types of risks prevalent in this segment- inherent risk, control risk and detection risk. It is that type of risk which is inherent in nature within the culture of the company due to misstatement of subject appearing in the financial statement of the company. Inherent risk is featured in the high range where it s found that high level of judgment is involved to encounter complex transactions observed in the process  (Accounting-simplified, 2010). This risk is generated from the activities which are arising out of the lesser –practice of internal control which subsequently leaves the scope of high level of material misstatement. To mitigate control risk, high level of multi-layer internal control check is to be implemented with the professional knowledge in the respective field of accounting and finance. This risk arises when the auditor can not detect the focus area and put highlight on the areas which are not so important, and at the same time ignoring the areas which are of more importance is status. This situation arises when the auditor is getting confused with the issues arising during the process of audit  (Unifr, 2016). The acceptable model of risk assessment determination is practiced with the below formula:- Audit risk= Inherent risk x control risk x detection risk   In this case the assumed audit risk is derived with the coefficient provided in case of BSF Ltd.:- Inherent risk = 90%, control risk =5% and detection risk = 80% Thus audit risk derived is = 90% x5% x 80% or 0.036 This audit is risk is reasonable, if the audit firm is accepting. Otherwise the audit firm has to follow the specified benchmark they follow for derivation of audit risk  (Unifr, 2016). Following is the audit program for BSF Ltd.: The Assigned audit firm has to assess the audit risk and then serve a notice to the management of BSF Ltd with the time limit and the requirement of the financial documents of BSF Ltd. along with acceptance of the assignment. To start with the process, schedule of audit is to be made containing the detailed program and the time limit with assigned members of the audit team. The plan of audit is the next step which should emphasize on the objective, scope and detection of critical area of the audit to be made on BSF Ltd. Management of audit process is the most vital step of audit program which is the responsibility of the team leader who will concentrate on the schedule and ensure compliance of audit plan. Submission of the draft audit report to the management for further discussion on the gray areas of observation is the next step with highlighting the discrepancies found during the course of audit(Cag, 2011).    Spent on research 1 st installment   Expense on procurement of fixed assets for research   Spent on research 2 nd    installment   Spent on research 3 rd and final   installment Observations of the journal entries related to CSIRO grant and R & D expenses: CSIRO grant had been booked properly in the books of financial accounting. R & D expenses are booked as per expenses made with the conditions applied as per CSIRO TBL or Triple Bottom Line concept endorses the concept of compliance of any organization by exposing their concern about social environmental and economical bottom line. As per BSF Ltd. they are claiming their compliance of TBL through GPFS and they need the certification of the same from the auditor. So far their activities of research with the eco friendly ingredients are proved, and with their endeavor to serve the society through their efforts they are substantially comply the same along with the economic bottom line of profit generation. Hence the claim may be certified with true and fair observations from the auditor. It is found that BSFR had acquired the patent of the product which is the result of their effort exploiting the environment friendly bacterial based resource. Their patent is being allowed on the subject with the product they have explored. But the entire field of bacterial based feeds technology can’t be their claim area as patent. Hence the claim such placed may not be allowed by the auditor keeping in mind the said factor of covering entire range of that technology  (Acca, 2016). Acca. (2016, May 31). Planning an Audit of Financial Statements. Retrieved September 22, 2016, from accaglobal: https://www.accaglobal.com/in/en/student/exam-support-resources/professional-exams-study-resources/p7/technical-articles/audit-financial-statements.html Accounting-simplified. (2010). Audit Risk Model Inherent Risk, Control Risk & Detection Risk. Retrieved September 20, 2016, from https://accounting-simplified.com/audit/risk-assessment/audit-risk.html Aicpa. (2006). Audit Risk and Materiality in Conducting an Audit. Effective for audits of financial statements for periods beginning on or after December 15, 2006. Earlier application is permitted; https://www.aicpa.org/Research/Standards/AuditAttest/DownloadableDocuments/AU-00312.pdf , 47 (107), 1647-1662. Asic. (2016). Are you a large or small proprietary company. Retrieved September 17, 2016, from https://asic.gov.au/regulatory-resources/financial-reporting-and-audit/preparers-of-financial-reports/are-you-a-large-or-small-proprietary-company/ Cag. (2011, March 31). Audit Plan. Retrieved September 22, 2016, from Cag: https://dgace.cag.gov.in/pdf/AMG-III-Audit-Plan.pdf Mediacongo. (2015, April 15). ToR Audit BSF-IA Final. Retrieved September 17, 2016, from mediacongo: www.mediacongo.net/docs/jobaof/2015/wv_tdr_anglais_20150418.docx Morgan, H. (2015, December 07). CSIRO fund to support Australian start-ups. Retrieved September 22, 2016, from Csiro: https://www.csiro.au/en/News/News-releases/2015/CSIRO-fund-to-support-Australian-start-ups Penn, S. (2016). Six-Step Audit Process. Retrieved 09 17, 2016, from https://smallbusiness.chron.com/: https://smallbusiness.chron.com/sixstep-audit-process-17816.html Unifr. (2016). Risks (Audit Risk Formula). Retrieved September 20, 2016, from https://www.unifr.ch/controlling/assets/files/Noesberger2016/3-audit-risk-formula.pdf With a decade's experience in providing essay help,

Evaluating Learning Curve for Kitchen Renovation Research Paper

Evaluating Learning Curve for Kitchen Renovation - Research Paper Example The objective of incorporating learning curves technique is to avoid steep learning curves and learn kitchen remodeling skills in a small amount of time.   The cumulative average curve is used to measure the learning curve and determines the efficiency of learning in quantified format. For the kitchen renovation project of 30 square feet of space, the rate of improvement was found to be 20%, which gives the learning percent of 80 in quantifiable terms (100 - 20 = 80). Learning efficiency was significant even for the purchased parts for which the efficiency remains in the region 80%-85% (Cyr, 2007). Kitchen remodels budgeting was the critical factor in determining the magnitude of the cumulative average curve. The general contractor was hired for the budgeting portion and over $500 was spent on budgeting alone. This cost was added to the total cost and then the learning efficiency was calculated. For installing ducts and plumbing, the learning curve remained above 70%, consuming 80 hours each. On the other hand, the learning curve for rewiring and installing lights was higher than plumbing. Due to proficiency in these tasks, less labor and time was consumed which instantly increased the learning efficiency and pushed it in the range of 85%-90%. Both of these tasks (lighting and rewiring) consumed 55-60 hours each. Follow-up on orders It is extremely crucial for a project manager to follow up on its products and services. Finishing and selling the product is one part of the battle, providing assistance after selling is another part of the job and constitutes as the backbone of customer retention. For the kitchen remodeling project, there are various aspects that need following up. Maintenance of various items is the necessary part of this project. The paint and varnish on the walls take some careful supervision after applying and needs following up. Enhancement and ongoing support are very important for a good customer feedback. Electric wiring system needs a l ot of care after installing. Follow up on the electric circuit as well as kitchen appliances counts as a regular follow up for the kitchen renovation. For this project, repairing drywalls of the kitchen required maintenance and follow up with the drywall contractor. This follow-up didn’t require any additional costs. There was also some problem in kitchen cabinets, which was discovered after installing them. Immediate replacement cabinets were called for from the contractor as he was responsible for all follow-ups. Finish carpenter was an independent contractor and the services he provided were not included in the initial contract. Therefore for tasks like Trim Molding, no follow-up service was available. For maintenance of the molding, the same carpenter was hired again at additional charges to take care of the moldings. The similar case was with the Laminate flooring, as a contractor was rehired to take care of the new flooring tiles. Another item which demands attention af ter purchase and installment is the Kitchen oven. Installment and the actual price of the oven were included in the contract price but maintenance and follow up was for one year only.  Ã‚  

Have power and ideology been used to achieve consensus India Essay

Have power and ideology been used to achieve consensus India - Essay Example Yet, the U.S. could not claim the same degree of representation and plurality that India can. In this respect Indian democracy can be said to be more functional than the more publicized democracies of the western world. But this is not to say that real-politic does not exist in India, or that political campaigns and policy-making are fair and just. In independent India, there were numerous instances of misuse and abuse of power. Even the once-revered Congress Party (which was once led by the great Mahatma Gandhi) has now reduced to yet another power broker, having lost its aura and initial sanctity. (Cohen, 2000, p.32) The latest sign of its deviation from founding principles is its close alliance with the United States of America, whose imperialist agenda is well documented and blatantly expressed. And recent Indian governments have projected America-led neoliberal capitalist ideology as something benign and progressive in garnering electoral consensus. â€Å"Numerous American offi cials already used the term "irreversible" to describe the course of Indo-U.S. relations. No U.S. president visited India  between January 1978 and March 2000, when President Clinton made a historic trip to the Subcontinent. Cabinet-level exchanges have since become routine, and President Bush's planned visit in early spring 2006 will reflect an agenda that has come to encompass shared global interests and concerns ranging from Iran and China to nuclear cooperation and biotechnology. Some have begun to see Bush's visit to India  as similar, in both intent and consequence, to that of Richard Nixon to China in 1972--which transformed Sino-U.S. relations and the global balance of power  for the next three decades. (Khanna & Mohan, 2006, p.43) The Congress Party, which has a history going back 115 years, is not only the oldest but also the most successful political organization in the country. In the six decades of post-Independent democracy, the party has nearly monopolized power through consistent electoral victories. But the Congress Party of today (run under the leadership of Sonia Gandhi, the widow of Rajiv Gandhi) doesn’t follow the same ideology as that under Jawaharlal Nehru. Nehru, having studied law at Harrods and much inspired by Bertrand Russell and other progressive thinkers of the time, belonged to a different era and espoused a different set of political values. Since his time, the condition of the party has undergone steady decline and it has now become power-hungry and devoid of content and ideals. In its early days, the party stood for such noble principles as secularism, egalitarianism and moderation. But today, this ethos is completely lacking. (Charlton, 1997, p.265) A reflection of the Congress Party’s lost stature is its electoral performance in the last two decades. Ever since the assassination of Rajiv Gandhi (the grandson of Jawaharlal Nehru) in 1991, the party could not manage to win a majority of parliamentary seats. As a result, it is dependent on coalition partners in holding onto power. In the 2004 general elections, for example, the Leftist parties such as Communist Party of India (CPI) and Communist Party of India (Marxist) gave outside support to the Congress-led coalition government. Interestingly, it was the pressure exerted by Leftist parties that led to constructive social measures and policies during this tenure. The NREGA