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Green CA Is Auditing the Financial Statements of Red Corporation

Question 43

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Green CA is auditing the financial statements of Red Corporation for the year ended December 31, 2009.Green plans to complete the fieldwork and sign the auditor's report around May 10, 2010.Green is concerned about events and transactions occurring after December 31, 2009 that may affect the 2009 financial statements.
Required:
A) What are the subsequent events that require Green's consideration and evaluation? B) What are the auditing procedures Green should perform to gather evidence about subsequent events?

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A) The first type of subsequent event in...

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