ACC 562 WK 4 Assignment 2 - North Face
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Read the case study titled “North Face” prior to doing this assignment.
Write a four to five (4-5) page paper in which you:
The SEC sanctioned Richard Fiedelman for failing to document the changes that his subordinates had made in 1997 North Face work papers and for failing to exercise due professional care. Explain the SEC’s rationale in making each of these allegations.
Take a position on the severity of the SEC’s punishment of Richard Fiedelman of a three-year suspension on being involved in the audits of SEC clients. Support your position.
Assume that you are an audit manager in a public accounting firm. The engagement partner asks you to modify client work papers after the financial statements and opinion has been issued. Determine what you would do in this situation. Provide your rationale.
Evaluate the practice of “materiality” used by public accounting firms and how accounting firms should address it with clients.
North Face’s management teams were criticized for strategic blunders that they made over the course of the company’s history. Discuss whether auditors have a responsibility to assess the quality of the key decisions made by client executives. Defend your answer.
Use at least three (3) quality resources in this assignment.
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