Senior Accountant Audit Career Guide and Counseling

Question: You work as a junior clerk for Oakland, Dyer & Summ, Accountants. The senior partner of the firm, while cond? You work as a junior clerk for Ikkelbod, Dwyer & Summ, Accountants. The senior partner of the firm, while conducting an Audit has encountered two difficulties. He placed two different problems on your desk which are representative of the difficulties he has discovered. The extent of the client’s tax liabilities will be dependant on the validity of the transaction in each case. He requires you to research these problems and give him all legal options which he in turn can then advise the respective clients with. The partner has requested this information in the form of an opinion. [An opinion is an essay which covers all of the relevant legal issues and researches the relevant legal precedents. Based on this research an indication is made what may be the most advantageous path for the client to take. All relevant legal information must be provided to the client, to enable them to make an informed choice.] (a) Mrs S drives into the entrance of Watson’s multi–story car park at 4.55 pm. She takes a ticket from the dispensing machine. This ticket has printed on it a black metallic strip that records the time, and the legend: “By accepting this ticket the holder is bound by the terms and conditions of the contract.� Mrs S enters the car-park. On the first floor she finds a large sign which states the terms of the contract. One of these terms is that any car left after 5 pm. will be charged $50.00 regardless of length of stay. Mrs Smith does not like this idea and attempts to leave the car-park; there is however a line of cars exiting and her departure is delayed by 10 minutes. At the pay kiosk the attendant tries to charge Mrs Smith $50.00 for her stay. Mrs Smith refuses; she claims a contract was not formed. Could you briefly set out what you would consider Mrs Smith’s legal argument for her claim would be under common law? How would Watson’s Multi-story Car-park attempt to counter this claim?

Answer: Mrs. Smith's argument would be that no contract was formed as there was no acceptance by her of the terms of the contract I'm not sure that Watson's could counter this claim, unless they could show the Mrs. Smith should have expected terms similar to the ones that Watson's imposed. They could attempt to recover in quasi-contract but they would have to show a benefit to Mrs Smith from the transaction, which is not evident from the facts stated. I'm not sure why the accounting firm would be doing legal research--better to leave it to the attorneys.

Question: Should I go down the audit path or general accounting path? I have an offer from a small public accounting firm specializing in government audit. I have gone through 3 interviews with an international, Fortune 500 construction/oil&gas company and an offer is likely. The offer at the Fortune 500 company pays "better than public accounting" according to the director who interviewed me. Which route should I choose, I am so torn? I would appreciate responses only from senior to management level auditors or accountants in a senior, manager or controller position within private industry. Thanks.

Answer: I am a CPA and an auditor. I would take the audit position as you will see more of a company (in this case, government) much more quickly than you will at the O&G Company. If you really want to go to industry, I would at least try to make it to manager in the auditing position (5 to 7 years) and then move to industry; by then you will have a strong general knowledge base of all operations within the Company you would transition into. If you want to go to the O&G industry, the only areas you would be lacking in are revenue accounting (full cost vs successful efforts), JIBs and FAS 69 disclosures, none of which are difficult to learn. If you take the industry job, it is very possible you will end up stuck in a certain department or a couple of departments, which will make you a great revenue accountant, or JIB accountant, but you will be missing the bigger picture, which is how you become a manager in industry.

Question: I am a housewife to a rich up and coming corporate lawyer...? I didnt go to college, I married this smart handsome man when I was 19. We've been married for 7 years. I came from a very simple family, my parents are housekeepers and we really didnt have a luxurious lifestyle. However, as i said, I married this young corporate lawyer. He comes from a very rich family. His dad owns a toy factory, while his mom was a senior accountant in a large auditing firm. He was 26 when we married. After marraige, ive lived a life of luxury. We live in a 15 bedroom mansion. We have maids and butlers, but we dont have children. My husband has given me everything I want. It has been a fairy tale My husband has always been respectful of me, but last week he requested that i join him and 2 other couple friends he has in a sexual activity, he called it an orgy. It shocked me. I said no. For 3 or 4 days he hasnt spoken to me. This is the first time he has ignored me. Should I just let him bring me to the orgy? Is it immoral? will i go to hell?

Answer: Go to the orgy. That is not being unfaithful so you will not go to hell. It's just consensual sex with the knowledge of consent of you and your husband, so it's not immoral. The rules are you don't have to do anything you don't want to. Let your husband know that you have thought about and maybe it will be fun, but you are not going to anything with any of the other guys unless they are good looking and the vibes are there. Also, the first time, you would rather just watch and for him not plan on you doing anything. He will be delighted and of course that will be fine with him. At first you will all just talk, maybe have a drink and play a few kissing games and the next thing you know you will willingly be having sex with another guy. Also, if you prefer, the first time, you want it to just be you and one other couple. Your husband will agree to that.

Question: Which career path is better, Public Accounting (Audit) or General Accounting?? I have an offer from a small public accounting firm specializing in government audit. I have gone through 3 interviews with an international, Fortune 500 construction/oil&gas company and an offer is likely. The offer at the Fortune 500 company pays "better than public accounting" according to the director who interviewed me. Which route should I choose, I am so torn? I would appreciate responses only from senior to management level auditors or accountants in a senior, manager or controller position within private industry. Thanks. Moses, thanks for the great response. Well, I am not intentionally limiting myself to those options, but that's the options that have presented themselves so far. My accting GPA is only a 3.2, and despite having held an auditing internship for the past 1.5 years, its been difficult to get any bites from any large firm. If you were in my position and had only those two offers to consider, which route would you take?

Answer: I am a senior at a Big 4 firm, so naturally you would expect me to say go with the small public accounting firm! However, my boyfriend, who is also an auditor, worked for a public governmental firm for almost 2 years and absolutely hates his job. He simply did not like governmental audits. He quit about a year ago and is now an auditor for a public accounting firm that does a variety of audits (not for publicly traded companies though, but also not strictly governmental audits). Over the past few years with my current firm, the opportunities I have seen in public accounting are incredible! I actually like my job, which a lot of people can't say. The benefits are great, the learning curve is steep, but so worth while, and I'm looking forward to a rewarding career. I would encourage you to not limit yourself to the 2 options mentioned above. I think when the right opportunity presents itself, you will know that it is a good fit for you. Good luck!

Question: Case 2 - APES 110 (20 marks) Maximum 1000 words? John Jones is a senior audit partner in a local audit firm and is planning to retire in 12 months time. He is well respected by a number of his clients and as a result has been offered a position on the board of ABC Pty Ltd (a listed company), to take effect immediately earning him fees of $20,000 plus 2000 shares (2% of the company's total shares). Furthermore, as a way of introducing him to the other members of the board they have agreed to pay his air fares and accommodation to the next board meeting to be held in 2 months. Currently the audit firm provides other financial services such as taxation and IT consulting for the general accounting software, legal services and employs a number of recently qualified accountants to assist in collecting data for an audit and to provide bookkeeping services for preparing the financial report. Also, various clients engage the auditing firm to provide valuation services for assets that form part of the financial report and give advice on what board recommendations should be implemented. For example, the auditor is asked to provide advice on marketing strategy. It should be noted that while the accountants were completing work for the annual accounts they were under the direct control of the company management. It has also been agreed with the other partners in the audit firm that John Jones will be paid a bonus on retirement if he can grow his client base by 25% in the 12 months leading up to his retirement. In order to achieve this John was engaged in an extensive advertising campaign where he offered all prospective clients different auditing packages which depended on how much the client was willing to pay for the audit. In order to secure a new client that would bring in an additional 20% of total fees for the firm, the client was offered a separate proposal, this being extended payment terms for paying the audit fee and an agreement that the time for auditing the accounts would not exceed three weeks. Required 1. Identify any professional standards and regulatory requirements that may have been breached. Make special reference to factors affecting auditor independence. 2. What action should John Jones take to avoid potential threats or risks to his objectivity?

Answer: john jones is a partner of an audit firm

Question: Am i stupid? What should i do? I had been working and studying ACCA for the past 4 years and i still didn't manage to clear all papers and graduate with a professional cert. I'm still stuck with 4 papers of the Professional level and below is the number of attempts and score that i have: Paper 1.1 to 1.3 => exempted because i'm a diploma holder 1st semester Paper 2.1 => 1 attempt, 61 Paper 2.2 => 1 attempt, 62 Paper 2.3 => 1 attempt, 61 2nd semester Paper 2.4 => 1 attempt, 50 Paper 2.5 => 1 attempt, 51 3rd to 5th semester Paper 2.6 => 3rd attempt, 62 6th to 7th semester P2 => 1 attempt, 52 I have been trying to pass P1 Professional accountant and i be going for the 4th sitting. Question 1. Am i taking too long to graduate? 2. Should i give up? I been failing for too many times 3. Am i stupid? I can't stand being a failure every now and then I been in the audit line for so near to 5 years and i join this new firm for near to 2 years. i am still an assistant audit due to without ACCA. My colleague promoted to being an senior audit after getting CPA. I feel so loser without any accomplishment after so long. Question: 1. Should i change job? Feel stupid and depressed. Nick

Answer: You are not stupid becoz' ACCA is well known for its difficulty to pass. Many have perished before you. Many have tried for many years before they finished the ACCA course. The problem right now is, how committed are you in getting this qualification, and if you change your job, do you know what's your next target industry? What's your education background before you go into Audit line? If your education is related to Accounting, are you willing to forgo your training and start something new from scratch? Other people can only give you opinions, and at the end, you got to figure out on your own coz' only you know what you want.

Question: Skilled Migration to Australia? I am a 35 yo Malaysian. I worked in KPMG for 4 years as an Audit Senior (1998 to 2002), worked as an Accoountant for a Group of Companies for 6 years (2002 to 2008), and currently am a Group Accountant for another Group of Companies (2008 to present). I graduated from University of Technology Sydney (Bachelor's Degree in Accounting), Australia in 1997 and came back to Malaysia and started working a few months later (as mentioned above). I am a qualified CPA. I am in the process of applying for Migration back to Australia using my Degree, my CPA and my Accounting Experience. I have a wife and 3 kids now. Is there a way for me to post my CV up on any Australian Employment sites, and let them know my situation, and so that if they are interested in me, then I can get a "letter" (Employer Sponsored) from them, to ease my migration application, and also as a security so that I have a job ready when I go? Please advice. Thanks so much.

Answer: There is a great deal more to employer sponsorship than a 'letter' and not many employers are willing to go to the trouble and expense that is involved. Apart from the security aspect of having a job offer, it really isn't necessary for you to have one for immigration purposes as you will easily pass the points test and that's all that is required. Employer sponsored visas are only temporary so you don't get Medicare, subsidised childcare or commonwealth supported education and are very restrictive. It's difficult to change employers and if you lose or leave your job, you only have 28 days to find another sponsor before you must leave the country - not good for a family man. Your occupation is on the CSL (if you have IELTS 7s) so that your application will receive priority processing (under 12 months) and all but one of our states (Queensland) are prepared to sponsor accountants for permanent visas that receive even higher priority processing (under 6 months). When you lodge your visa application, make sure you post your educational, employment and work details on the Skill Matching Database so that potential employers can find you - you must do that at the time of application. http://www.immi.gov.au/skills/ You should also go to the main job search websites such as: http://www.seek.com.au/ http://www.careerone.com.au/ http://mycareer.com.au/ http://www.accountingjobs.com.au/ but for a professional at your level, I suggest you use the websites more to get contact details for recruitment companies specialising in accountancy placements and submit your CV directly to them. All fees are charged to employers so it won't cost you anything and it may turn up a higher level position than one that is advertised. It's probably best to wait until your visa application is well underway as employers will be more interested in someone who has PR in hand or just around the corner.

Question: Did anyone else receive an emaillike this? Dr. Senior Manager Audit Control Unit Citizens International Bank Nigeria Plc Victoria Island Lagos. Tel: Hello, I am grateful to reach at last after making so much effort to inform you of your inheritance with our Bank. First and foremost, i will like to introduce myself as Dr. Paul Hassthrop. I am a banker and an accountant with Citizens Int'l Bank Nigeria Plc. I was the account Officer to Late Engineer (Arthur), a National of your country, who was a contractor with the Department of Petroleum Resources, Victoria Island, Lagos. Who herein after shall be referred to as my client on the 30th January 2000, was involved in the Kenyan Airways Flight crash with registration number 5Y-Ben alongside his wife and two children. This plane departed Nairobi to Lagos on that fateful day and all the family died in this fatal air crash on the 30th January 2000. Since then, i have been trying to trace my clients family members to no avail. I also tried I contacted the bank and Yahoo. If you have recieved one please do same!!!!

Answer: No, but it does sound like a ploy to get your personal info. What throws him off is he initials' international and place. Professionals don't do that, and he does that through out. Report him or mark him as spam. Give him no info or if you want further inquireies, Tell him to give you more info. Demand more from him. If he doesn't comply, he's not legit. If he does, it doesn't mean he is...

Question: which law in this case? You work as a junior clerk for Ikkelbod, Dwyer & Summ, Accountants. The senior partner of the firm, while conducting an Audit has encountered two difficulties. He placed two different problems on your desk which are representative of the difficulties he has discovered. The extent of the client’s tax liabilities will be dependant on the validity of the transaction in each case. He requires you to research these problems and give him all legal options which he in turn can then advise the respective clients with. The partner has requested this information in the form of an opinion. [An opinion is an essay which covers all of the relevant legal issues and researches the relevant legal precedents. Based on this research an indication is made what may be the most advantageous path for the client to take. All relevant legal information must be provided to the client, to enable them to make an informed choice.] (a) Mrs S drives into the entrance of Watson’s multi–story car park at 4.55 pm. She takes a ticket from the dispensing machine. This ticket has printed on it a black metallic strip that records the time, and the legend: “By accepting this ticket the holder is bound by the terms and conditions of the contract.� Mrs S enters the car-park. On the first floor she finds a large sign which states the terms of the contract. One of these terms is that any car left after 5 pm. will be charged $50.00 regardless of length of stay. Mrs Smith does not like this idea and attempts to leave the car-park; there is however a line of cars exiting and her departure is delayed by 10 minutes. At the pay kiosk the attendant tries to charge Mrs Smith $50.00 for her stay. Mrs Smith refuses; she claims a contract was not formed. Could you briefly set out what you would consider Mrs Smith’s legal argument for her claim would be under common law? How would Watson’s Multi-story Car-park attempt to counter this claim?

Answer: This is at least the third time exactly the same question has been posted here. It's hard to believe there are 3 of you in the same class who couldn't be bothered trying to do any work of your own, so I assume you are one and the same person who simply keeps posting this. As I've said before, until you show me you can think for yourself, bugger off and do your own homework!

Question: internal control quiz and cash quiz...? Select the most correct answer. 31. Which of the following is NOT a control activity? a. financial reporting b. performance reviews c. documentation procedures d. segregation of duties 32. For internal controls to be most effective, how many people should be responsible for a given task? a. 1 b. 2 c. 3 d. This depends on the size of the company. 33. The internal audit function is only effective when a. control tasks are properly performed. b. the results of an internal audit are reported to senior management and/or the company’s owners. c. performance reviews are carried out on a regular basis. d. reports are filed with the CICA. 34. Internal control helps an organization achieve all of the following EXCEPT a. reliable financial reporting. b. compliance with relevant laws and regulations. c. absolute assurance that fraud will not occur. d. effective and efficient operations 35. Internal controls are not designed to safeguard assets from a. natural disasters. b. employee theft. c. robbery. d. unauthorized use. 36. Having one person receive all cash and a different person post to the Accounts Receivable account in the general ledger is an example of a. inadequate internal control. b. duplication of effort. c. performance reviews. d. segregation of duties. 37. Having one person responsible for the related activities of ordering merchandise, receiving goods, and paying for them a. increases the potential for errors and fraud. b. decreases the potential for errors and fraud. c. is an example of good internal control. d. is a good example of safeguarding the company's assets. 38. The custodian of a company asset should a. have access to the accounting records for that asset. b. be someone outside the company. c. not have access to the accounting records for that asset. d. be an accountant. 39. Internal auditors a. are hired by CA firms to audit business firms. b. are employees of the Canada Revenue Agency who evaluate the internal controls of companies filing tax returns. c. evaluate the system of internal controls for the companies that employ them. d. cannot evaluate the system of internal controls of the company that employs them because they are not independent. 40. When two or more people get together for the purpose of circumventing prescribed controls, it is called a. a fraud committee. b. collusion. c. a division of duties. d. bonding of employees.

Answer: 31. Which of the following is NOT a control activity? b. performance reviews 32. For internal controls to be most effective, how many people should be responsible for a given task? d. This depends on the size of the company. 33. The internal audit function is only effective when b. the results of an internal audit are reported to senior management and/or the company’s owners. 34. Internal control helps an organization achieve all of the following EXCEPT c. absolute assurance that fraud will not occur. 35. Internal controls are not designed to safeguard assets from a. natural disasters. 36. Having one person receive all cash and a different person post to the Accounts Receivable account in the general ledger is an example of d. segregation of duties. 37. Having one person responsible for the related activities of ordering merchandise, receiving goods, and paying for them a. increases the potential for errors and fraud. 38. The custodian of a company asset should c. not have access to the accounting records for that asset. 39. Internal auditors c. evaluate the system of internal controls for the companies that employ them. 40. When two or more people get together for the purpose of circumventing prescribed controls, it is called b. collusion.