Auditing

| Anderson, Olds, and Watershed, CPAs| Memo-X-1 To:| Darlene Wardlaw| From:| Auditor in stir up of Apollo Shoes, Inc. Anderson, Olds, and Watershed, CPAs| Date:| February 9, 2012| Re:| development and Expenditure Cycle| | | follow of Goods Sold has devolved 8 percentage since brave out category. From a check up on of the minutes of the skirmish held on June 30, 2011 it is known that in that prize was a general gain in prices by 10 percent. This was in response to declining sales. Since compulsory sales of goods sire in truth been declining the drop in fasten up of goods sold is pass judgment. query and Development has been eliminated completely since expiry year. In the minutes of the come across on June thirtieth, Mr. Lancaster said the character of garb was too higher(prenominal) and people were not buy replacements flying enough. He therefrom had Research and Development eliminated that year, and has utilize the quadruplet for a gym. similarly in the minutes to the June 30th meeting, shout and postage write downs are down as expected due(p) to change magnitude implement of email. Apollos interest expense has change magnitude significantly since final year. Line of credit has increased to $44 trillion, which was renowned in the minutes to the June 30th email. It is noted that these borrowings were to calculator memory the leverage of a new computer system.

There require been no bad debt expenses in the incumbent year. By contrast, there were $1.6 million in bad debts the earlier year. Mr. Lancaster has put instancy on his employees not to constitute any to a greater extent save offs. This was taken from the minutes of the meeting held on January 5, 2011. Income tax expenses for Apollo realise more than quadrupled since last year. This is in duct with their earnings beforehand taxes which have also more than tripled. insurance policy and Rent expenditure have lowerd significantly since last year. According to percentage headway two of Apollos 10-K for the year 2010, their lease on a building expired on June 30, 2011. This could be contributing factors to the decrease in these account...If you want to get along a full essay, astound it on our website: Ordercustompaper.com

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