Rosario & Rivera a CPA firm in Puerto Rico has completed the audit of the financial statements of G Corporation as of,and for the year ended September 30, 2011. Findings related to the financial statements and the audit include the following:
- G is a non public corporation
- Rosario & Rivera were not able to observe the ending inventory , neither to use alternate procedures
- G is the defendant in a litigation filed by former employees that were fired for alleged discrimination. G's attorneys believe that a reasonable amount of the contingency loss will be $250,000. G Corporation declined to disclose this information in the notes to the financial statements
Instruction
Consider the facts given and prepare an auditor´s report, incorporating any necessary departures from the standard report.