On or about August 24, 2018 The Board of Directors
Post# of 2219
(Total Views: 346)
Posted On: 09/22/2018 12:27:32 PM
Re: ThreeMoreMonths #624
On or about August 24, 2018 The Board of Directors of Sunset Island Group (the "Company), acting as the Company’s Audit Committee, announces that it has appointed BF Borgers, CPA PC (“Borgers”) as Sunset Island Group’s independent auditors for the 2017 and 2018 fiscal year, replacing Benjamin & Young, LLP (B&Y).
The descriptions of the deficiencies in Part I.A of this report include, at the end of
the description of each deficiency, references to specific paragraphs of the auditing
standards that relate to those deficiencies. The text of those paragraphs is set forth in
Appendix A to this report. The references in this sub-Part include only standards that
primarily relate to the deficiencies; they do not present a comprehensive list of every
auditing standard that applies to the deficiencies. Further, certain broadly applicable
aspects of the auditing standards that may be relevant to a deficiency, such as
provisions requiring due professional care, including the exercise of professional
skepticism; the accumulation of sufficient appropriate audit evidence; and the
performance of procedures that address risks, are not included in any references to the
auditing standards in this sub-Part, unless the lack of compliance with these standards
is the primary reason for the deficiency. These broadly applicable provisions are
described in Part I.B of this report.
Certain deficiencies identified were of such significance that it appeared to the
inspection team that the Firm, at the time it issued its audit report, had not obtained
sufficient appropriate audit evidence to support its opinion that the financial statements
were presented fairly, in all material respects, in accordance with the applicable financial reporting framework. In other words, in these audits, the auditor issued an
opinion without satisfying its fundamental obligation to obtain reasonable assurance
about whether the financial statements were free of material misstatement.
The fact that one or more deficiencies in an audit reach this level of significance
does not necessarily indicate that the financial statements are materially misstated. It is
often not possible for the inspection team, based only on the information available from
the auditor, to reach a conclusion on those points.
Whether or not associated with a disclosed financial reporting misstatement, an
auditor's failure to obtain the reasonable assurance that the auditor is required to obtain
is a serious matter. It is a failure to accomplish the essential purpose of the audit, and it
means that, based on the audit work performed, the audit opinion should not have been
issued.
https://pcaobus.org/Inspections/Reports/Docum...orgers.PDF
The descriptions of the deficiencies in Part I.A of this report include, at the end of
the description of each deficiency, references to specific paragraphs of the auditing
standards that relate to those deficiencies. The text of those paragraphs is set forth in
Appendix A to this report. The references in this sub-Part include only standards that
primarily relate to the deficiencies; they do not present a comprehensive list of every
auditing standard that applies to the deficiencies. Further, certain broadly applicable
aspects of the auditing standards that may be relevant to a deficiency, such as
provisions requiring due professional care, including the exercise of professional
skepticism; the accumulation of sufficient appropriate audit evidence; and the
performance of procedures that address risks, are not included in any references to the
auditing standards in this sub-Part, unless the lack of compliance with these standards
is the primary reason for the deficiency. These broadly applicable provisions are
described in Part I.B of this report.
Certain deficiencies identified were of such significance that it appeared to the
inspection team that the Firm, at the time it issued its audit report, had not obtained
sufficient appropriate audit evidence to support its opinion that the financial statements
were presented fairly, in all material respects, in accordance with the applicable financial reporting framework. In other words, in these audits, the auditor issued an
opinion without satisfying its fundamental obligation to obtain reasonable assurance
about whether the financial statements were free of material misstatement.
The fact that one or more deficiencies in an audit reach this level of significance
does not necessarily indicate that the financial statements are materially misstated. It is
often not possible for the inspection team, based only on the information available from
the auditor, to reach a conclusion on those points.
Whether or not associated with a disclosed financial reporting misstatement, an
auditor's failure to obtain the reasonable assurance that the auditor is required to obtain
is a serious matter. It is a failure to accomplish the essential purpose of the audit, and it
means that, based on the audit work performed, the audit opinion should not have been
issued.
https://pcaobus.org/Inspections/Reports/Docum...orgers.PDF
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