Miss Yu is performing the audit on leases of TipuPte Ltd for the year ended 31...

80.2K

Verified Solution

Question

Accounting

Miss Yu is performing the audit on leases of TipuPte Ltd for theyear ended 31 December 2016. From the ledger, Miss Yu noticed thatthere are three items. which are on lease, i.e. a van, a lathemachine and the oven. As part of the audit, Miss Yu would sendstandard confirmation letters to the lessors. Two days before theend of the fieldwork, Miss Yu received confirmation from the van'slessor. Miss Yu's client has short taken the van lease by $10,000.Miss Yu sent the second reminder confirmation and managed toreceive the confirmation from the lathe machine's lessor. The leasewould only start from 1 January 2017. Miss Yu has to yet receiveany confirmation pertaining to the leasing of the oven.
Required
a. What should Miss Yu do in the future to make sure that theconfirmation letter are received and answered promptly?
b. There are discrepancies to two of the items. What furtheraction should Miss Yu take?

Answer & Explanation Solved by verified expert

4.2 Ratings (1008 Votes)

Miss Yu is performing the audit on leases of TipuPte Ltd for the year ended 31 December 2016 Ans a Miss Yu do in the future to make sure that the confirmation letter are received and answered promptly Three actions that Miss Yu See Answer

Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:

Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!

Become a Member