MUS sampling question: after we evaluating the sample, the expected misstatement is above posting. Do we need to communicate this projected misstatement to the management? I don’t think so...

like
Posting as :
works at
You are currently posting as works at

^^ this guy 🤦‍♀️

like

if there are zero differences, there shouldn’t be any error projected across the remaining population. you’re doing something wrong.

like

Regardless of whether it’s projected or factual, f it’s above ampt it will go on the SUAM, which ultimately is reported to management. The only difference between factual and projected misstatements is that we would not expect management to record the adjustment without first going back and scrubbing the population to try to determine the factual misstatement. Also if it’s an integrated audit you need to evaluate whether a control failed (that should be done without considering ampt if you have an exception in a substantive audit test)

like

What I’ve done is either extend the sample or ask management to isolate why those specific items were exceptions. For example if they had a new employee who created the errors the month of May (and this aligns with your testing) and was corrected for June onward items, usually this isolated May error can be waived or management booked a true-up elsewhere and it’s not an exception after all. Hope this helps

like

if it’s an error identified above posting level and a topside isn’t booked, a dollar value does have to be communicated to governance (audit committee, etc.) in the form of an unposted correcting journal entry attached to the rep letter. but generally I would expect to bring the issue to management in order to assess whether there is a related control deficiency and the dollar value error would be agreed upon based on their analysis and our review of it, not our projected value based on a sample.

like

You gotta communicate it if its above ampt, but you can tell them they dont need to be corrected since they are just projected.

like

If you have a projected misstatement with no misstatements, you've done something wrong. The expected misstatement is always above AMPT but you dont consider that when adding items to the suam

like

Just got to know the “expected misstatement” was just an system generated input...I misread it. As long as factual misstatement are below AMPT and total misstatement (factual + projected) is below PM, we won’t have to do additional work. Thank you all for the discussion!

like

Well for starters, MUS stands for Monetary Unit Sampling....so MUS Sampling is redundant. That said, it's probably worth presenting to Management, but not worth booking

like

Above posting meaning above trivial or materially? If so, then yes since you will have to propose an entry. I’ve never seen a client post an entry based on a projected error, but I would think you would make management aware if it’s material.

like

“Pajes” get recorded if they are above posting threshold for kpmg. No PM

like

Before going to client - go to your manager first! Someone in my office *clears throat* went straight to the client with a potential AJE once, and they just about hit the ceiling. Had that person gone to their manager first, it wouldn't have been anywhere close to as dramatic.

like

No. Not factual

KPMG 1 thank you! That’s what I thought. Vaguely remembered from last year’s national training

But the issue is... even audit values of sample items have zero difference, the projected misstatement is still above AMPT...just don’t seem to be reasonable to me...

PwC1 I simply don’t believe AMPT should be used to measuring a projected misstatement... it should be a threshold for factual misstatement, at least for the purpose of communicating with management, which might be a reason to ruin some one else’s career/performance. There is a reason for distinguishing projected misstatement and factual misstatement. I’m drinking now already but will find guidance tomorrow just to debate with you. :)

GT1 Good point.

GT3 thank you! Will discuss that option. Very helpful!

K2 K3 thx!!

All of your problems can be documented away (or a paje that doesn’t get booked so long as it’s below PM)

Related Posts

I have a degree in engineering and I am looking for Data Analyst opportunities in Canada. Does anyone know of any listings or companies that I should check out?

like

Wondering what a Director of Operations salary range is, in healthcare, in the Dallas area? Thank!

like

Hopefully everyone gets this weekend to rest in preparation for the 10/15 madness that has already started creeping up.

like

How to deal with fear of joining new company with altogether different technologies at high pay? How to manage work and learning together ?

Note: Already been preparing for required techstack, but unless we get hands-on. It will not be helpful.

like

Looking from a transition from B2B to B2C in Product management. Total tech experience : 11 years, Total PM experience : 5+ years

like

Hi folks, I had a quick question around remote work. My office is in San Francisco but I worked remotely from NJ for clients on the WC. How should I answer the question, “did you earn income working remotely by providing the services in a different state than the state you originally engaged employment with it”? If it matters, I never set foot in CA.

like

_build is > 1000 employees as of now. It needs it's own bowl.

like

Recruiters, when looking at a portfolio site, how long do you need to tell whether you like their style or not? Do you do a deep dive, or bounce around quickly?

like

Which firm do you think has the most staff aug projects?

Can someone please share a repository of helpful PE recruiting materials? Or just general knowledge stuff

likehelpful

Im a RN and took on a new role working in Home Health. I chose this position because My husband & I recently moved to PA with our 2 kids (1&3), with no family available for his residency program with a hospital. If you know that life, I’m pretty much the main parent for our kids. I don’t want to work in the hospital/floor work anymore; nor do I believe the hrs are flexible enough. I need a job that’s flexible for the kids but pays >$44/hr. Maybe remote or hybrid? Please help w/ suggestions.

like

I wanted to know if there is any opening for 1 yoe Java/backend developer.

Hey so like - newfound reason for my procrastination since I got on Ritalin - a tendency towards "putting things off so I can enjoy the hyperfocus later". When I just started taking the meds I was super effective for a few weeks but now my brain seems to be figuring out ways around the drugs 🤦🏻‍♀️ any ideas on how to not fall back into procrastination behaviours?

like

Apologies if this is a crazy question but is it okay to keep riding my peloton while trying/early on?? My doctor wasn’t super clear / helpful with the question. 🙈

like

Lately I have read a lot about automation and/or outsourcing of administrative work.

Do you see this happening at your firm soon? How close?

like
like

Good adult tennis instructors in Brookline/Newton? Looking to correct my form and work on some skills & drills

like

2 years of experience looking to move to FSO Advisory as a Senior, Tier 1 major city, 100k a reasonable ask?

like

Can anyone refer me to pwc PwC Pwc AC
YOE:3 YEARS
SKILL:LINUX ,STORAGE ,Python,C,Sql
Any help would be appreciated Email:warriorraj1@gmail.com

like

I’m moving in a few weeks and looking to donate some lightly used furniture. Does anyone know of charities who do furniture pick ups? I’ve already tried the Salvation Army but they don’t have any availability right now. TIA!

like

Additional Posts in Audit Bowl

Another week, another notice turned in. My team is dwindling.

likefunny

Who’s working this Sunday?

likehelpful

Seniors/Managers be like: “Hey I know you have training all day today but here are 3 tasks, could you please try to knock those out by EOD?”

likehelpful

Which offices are open? Which company and location?

like

Why is it that industry experience as a staff accountant carry little to no weight in the PA world? I spent 2 years at a F200 public company. Switched over to PA only to start from the bottom again. 😓

FSI vs Commercial, does anyone have any insight which route leads to better career opportunities?

like

How do you approach when you disagree with the ‘ratings’ provided by a feedback provider?

likefunny
like

I prepared an analysis of my jobs (acting as manager) comparing actual realization to budgeted and was told I shldnt be looking at that. Shouldnt performance to budget be a metric mngrs are eval’d on?

What is the best way to start your ACCA journey as an associate ? ( knowing i have the first 3 exams as exemptions)

like

Anybody in WFH setting has had good luck holding 2 jobs in audit world? Can you share experience?

like

How much is audit M2 getting paid in big4 Dallas please? Thinking about jumping

like

Is audit really taking a hit from covid? Or is it just just experiencing collateral effects from the negative impact towards advisory? If the latter, why should it share the negative impact when it doesn’t benefit off the higher profits from advisory? If the former, I guess I don’t have a valid question lol

like

Just finished exams. Haven’t liked job for at least a year. Can’t tell if the exam played a key role. Anyone experience better worklife post exam? Not sure I can do another busy season.

like

Do we ever get a clean slate to after busy season? I’ve been told I need to work on delivering work timely, but my old jobs keep prioritizing their “last” one off questions that impact my current work

like

What’s the PWC email chain big4 posted about?

like

im a presenter for a training to the whole dept globally and we have the training today and i literally want to throw up im so nervous

like

Hi 🐠 Anyone working at MGO? Probably getting an offer, only concern is the hours. Any info is welcome.

like

I started as an associate in 2021 in a mid size. My schedule was full until the end of May. Starting in June, I’m not scheduled on any clients at all. Meanwhile the other associate who started with me have full schedule until end of year. I contacted HR and said it’s ok for first year. Is this normal? Why this happening?

like

Anyone knows how much a pre-manager level senior makes in Big 4 in California?

like

New to Fishbowl?

Download the Fishbowl app to
unlock all discussions on Fishbowl.
That was just a preview…
Sign Up to see all discussions
  • Discover what it’s like to work at companies from real professionals
  • Get candid advice from people in your field in a safe space
  • Chat and network with other professionals in your field
Sign up in seconds to unlock all discussions on Fishbowl.

Already a user?
Login here

Share

Embed this post

Copy and paste embed code on your site

Preview

Download the
Fishbowl app

See what’s happening in your industry
from the palm of your hand.

A phone with Fishbowl app

Send download link to your phone

OR

Scan your QR code to download
Fishbowl app on your mobile

By continuing you agree to Terms of Use and Privacy Policy.

Messaging rates may apply

Download app

Sign up for free to view this conversation on Fishbowl

By continuing you agree to Terms of Use and Privacy Policy

Already have an account? Log in

Sign up for free to continue using Fishbowl

By continuing you agree to Terms of Use(New) and Privacy Policy(New)
Messaging rates may apply