Response to the following problem:
The following audit report was drafted by a junior staff accountant of Lipske & Griffin, CPAs, at the completion of the audit of Douglas Company's ICFR. The report was submitted to the engagement partner, who reviewed matters thoroughly and properly concluded that there was a material weakness in the entity's ICFR. Douglas' management agreed and wrote an assessment indicating that the entity's
ICFR was not effective as of the end of the reporting period. Sufficient, competent evidence was obtained during the financial statement audit to provide reasonable assurance that the overall financial statements present fairly in accordance with GAAP.
Required:
Identify the errors and omissions contained in the auditor's report as drafted by the staff accountant. Group your listing of the errors and omissions by paragraph, where applicable. Do not redraft the report.