Audit Case

You will need to use the PCAOB standards and SEC regulations to complete this assignment. You can access these resources on the PCAOB’s website: https://pcaobus.org/ (Links to an external site.) and the SEC’s website: https://sec.gov/ (Links to an external site.). A Google search may also help you locate relevant documents. You will also need to access the Accounting Standards Codification (ASC). You can access it through the free basic view on the https://asc.fasb.org/ (Links to an external site.).

This case investigates the auditors of Corporate Resource Services, Inc. (CRS). The Securities and Exchange Commission (SEC) filed enforcement action against Mitchell Rubin, CPA, and Michael Bernstein, CPA for audits covering fiscal years ended 9/28/2012 and 12/28/2012 (Accounting and Auditing Enforcement Release No. 4008 (December 21, 2018) and Crowe Horwath LLP, Joseph Macina, CPA, and Kevin Wydra, CPA for audits covering fiscal year end 1/3/2014 (Accounting and Auditing Enforcement Release No. 4007 (December 21, 2018). The enforcement releases are attached below.

Summary

First you should read through both enforcement releases and provide a summary of the events as presented by the SEC. It might be easiest to present the information as a timeline of events. Your summary should be in your own words and should identify the parties involved, the events that occurred, the standards/regulations that were violated, and the resulting sanctions/findings. This should be a brief overview of no more than 2 pages.