Case Study 8: Knottyville Country Club: Asset Misapproproation

Case Study 8: Knottyville Country Club: Asset Misapproproation

Please review the case found on pages 63 – 66.
(please ignore the questions at the end of the case and instead answer the below questions)

Required:

After reviewing the case, respond to the following:

List in detail the various internal control weaknesses and weaknesses in the monitoring system that existed at the Kottyville Country Club.
You are hired as an expert CPA to institute effective internal controls and monitoring systems at the Knottyville Country Club. What controls and monitoring systems would you recommend? List them in detail.
The Knottyville Country Club wants to construct an $8 million addition to the clubhouse. They have approached ABC Bank. The bank required the Club to get an external audit done by a CPA firm for the years 2005 and 2006. You have been hired as the external auditor. Hint: Read SAS No. 99 first.
1. List the risk factors (red flags) for asset misappropriation that are present in this case.
  - You may also want to consider thinking about the red flags in terms of the fraud triangle (related to (1) Pressures/Incentives, (2) Opportunities, (3) Attitudes/Rationalization
2. What audit procedures would you perform to make sure that there was no embezzlement at the Club and that its financial position is fairly stated. List them in detail.
When considering both Cash Skimming and Cash Larceny
- Explain what each is
- What are some similarities and differences between them?
- How is each concealed?
- Would you say that either occurred in this case?

NOTE: A list is acceptable for your response to numbers 1, 2, 3A, and 3B. Number 4 requires a bit more explanation.

Case Source: Crumbley, D. L., LaGraize, W. A., & Peters, C. (2016). Case studies in forensic accounting and fraud auditing. Wolters Kluwer.

It’s that simple.Pay only when you are satisfied.

1-Send us your Assignment requirements, attach and deadline for submission.

2-You will get a confirmation from us with a price quote.Pay us and be relax.

3-Your Completed task will be e mailed to you before agreed time.

Send your academic problems,

Get instant Help only at Writerscampus!