It is common industry knowledge that an audit plan provides the  

It is common industry knowledge that an audit plan provides the  specific guidelines auditors must follow when conducting an external  audit. External public accounting firms conduct external audits to  ensure outside stakeholders that the company’s financial statements are  prepared in accordance with generally accepted accounting principles  (GAAP) or International Financial Reporting Standards (IFRS).  Use the Internet to select a public company that appeals to you. You may also use the company dossier in the Nexis Uni database to find company information. Imagine that you are a senior partner in a public accounting firm hired to complete an audit for the chosen public company. Instructions Write a 4–6 page paper in which you: Outline the critical steps inherent in planning an audit and  designing an effective audit program. Based on the type of company  selected, provide specific details of the actions that the company  should undertake during the planning and designing of the audit program. Examine at least two performance ratios that you would use in  order to determine which analytical tests to perform. Identify the  accounts that you would test, and select at least three analytical  procedures that you would use in your audit. Analyze the balance sheet and income statement of the company that  you have selected, and outline your method for evidence collection  which should include, but not be limited to, the type of evidence to  collect and the manner in which you would determine the sufficiency of  the evidence. Discuss the audit risk model and ascertain which sampling or  non-sampling techniques you would use in order to establish your  preliminary judgment about materiality. Justify your response. Assuming that the end result is an unqualified audit report,  outline the primary responsibilities of the audit firm after it issues  the report in question. Use the Strayer Library  to locate at least two quality academic resources in this assignment.  Note: Wikipedia and other similar websites do not qualify as academic  resources. This course requires the use of Strayer Writing Standards. For  assistance and information, please refer to the Strayer Writing  Standards link in the left-hand menu of your course. Check with your  professor for any additional instructions. The specific course learning outcome associated with this assignment is: Outline the process for designing an audit program, including  analytical procedures, evidence collection, and responsibilities of the  audit firm.

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