Leslie Fay case

Leslie Fay Case 1.         After reviewing the common size financial statements and the backbone ratios of Leslie Fay, thither some of the financial statement item that should set about been of crabby interest to BDO Seidman: 1).Sales: the sales has been growing steadily remove the flimsy drop in 1991, which is contrary to the effort recession. 2). fund: Leslie Fay has been cognise for non catching up the fashion, there should be line write-off issue in the apparel industry, which havent been reflected in the pedigree eyeshade though. 3) A/R: always a play up because of its nature of hiding fraud 4). separate assets account: the current and lively ratio of Leslie Fay is significantly higher(prenominal) than the industry norm. 5). Liability account: A/P and debt, to figure if understated. 2.         Other financial selective information that the auditor mightiness have obtained: 1). The contract or organisation of Leslie Fay and departm ent stores to assert the A/R and liability 2). Documentation with its client regarding its clubs 3). Its commendation and bad debt write-off policy 3.         Non-financial factors the auditor should consider: 1). The industry 2). stupor of economy on this particular industry and friendship 3). The companys structure, history and someonenel 4). government activity regulations that have influenced or will show the effort on the company 4.

        capital of Minnesota Polishans ascendancy has two-fold implications on the audit: 1). Suppose hes a morally-impeccable person who did every thing right and held high integrity and resp! onsibility towards the company, his dominance alleviate shows an internal control weakness which lack the sequestration of duties. such system is prone to the fraud and if Mr. Polishan is sick or preoccupied from work for whatever reason, the finance department might not function well. 2). Mr. Polishans dominance explained the fraud he perpetuated and hid. The audit should interpret this into consideration... If you want to get a full essay, order it on our website: BestEssayCheap.com

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