Has anyone else come across auditors now covering their backs even more by now waiting for the last minute to file the accounts as they want to know that what they say in the audit notes is going to come true, and also add a statement from Directors to the going concern feasabiility of the company.
Something like 'yes the company expects to do well over the next 6 months' and post this statement after 6 months has passed but date it the beginning of the year and say I told you so!!!!
Having come from an audit background, the going concern assumption is a key element and sometimes it is necessary to wait a certain length of time after the year end to be sure that the Company truly is a going concern, or to disclose important post balance sheet events.
Sometimes audit reports take longer to get together because of amassing 'sufficient, appropriate, audit evidence' - and this can be as much the clients' fault as the auditors sometimes.
Auditors have to cover their backs, because audit is a highly pressured work that individual Audit Partners must sign their personal names to, so don't underestimate it and there are often good reasons for not filing until near the deadline.
Mercia do a lot of it if the firm uses their stuff. Not sure of other firms out there, but when I was in practice, Mercia used to come out once a year and double check a certain number of files.
They always raised points so its good to have them there.
But they did get a bit silly, like having to write on every bit of paper, "prepared by......" so they knew if the schedule was by client or by auditor.
Yeah agree, the last review we had, picked up various obscure points which no one in their right mind could think important. However, at least when they left you felt they had done a full and comprehensive review.
__________________
Forgive the typo's I generally do not proof read. Just lazy I guess!
