Complete problem below and submit to your instructor. Writeunder the generally accepted auditing standards column the specificstandard that was violated and how the action of Jones resulted ina failure to comply with each standard. Organize your answer asshown below; specifically with a column for the standard that wasviolated and a column for the required action. The paper should be2-3 pages.

Problem:

John Clinton, owner of Clinton Company, applied for a bank loanand was informed by the banker that audited financial statements ofthe business had to be submitted before the bank could consider theloan application. Clinton then retained Arthur Jones, CPA, toperform an audit. Clinton informed Jones that audited financialstatements were required by the bank and that the audit must becompleted within three weeks. Clinton also promised to pay Jones afixed fee plus a bonus if the bank approved the loan. Jones agreedand accepted the engagement.
The first step taken by Jones was to hire two accounting studentsto conduct the audit. He spent several hours telling them exactlywhat to do. Jones told the students not to spend time reviewingcontrols but instead to concentrate on proving the mathematicalaccuracy of the ledger accounts and summarizing the data in theaccounting records that support Clinton Company’s financialstatements. The students followed Jone’s instructions and after twoweeks gave Jones the financial statements, which did not includeany notes. Jones reviewed the statements and prepared anunqualified audit report. The report, however, did not refer togenerally accepted accounting principles.