4. Evidence ２

LETTERS

Engagement letter：Planningの時に取り交わします。Feeなどが書いてあります。Required by GAAS。

Management representation letter：最重要証拠の１つです。Required by GAAS。Managementが監査の終わりに出す宣誓書です。もらえなかったら適正意見を出せません。今まで口頭で約束していたことを書面に落とし込んでもらいます。クライアントのレターヘッドで作ってもらいます。Rep Letterの日付が、監査報告書の日付になるので、超重要です。

Rep Letterの内容

財務諸表は、でmanagementのresponsibilityです、GAAPに基づいて作ってます、隠し事はしていません、Cut Offもバッチリ、Related Party Transactionについてもちゃんと開示しています。

CEOとCFOがサインして監査人に提出します。

[Entity Letterhead]

To [Auditor]

[Date]

This representation letter is provided in connection with your audit of the financial statements of ABC Company, which comprise the balance sheet as of December 31, 20XX, and the related statements of income, changes in stockholders’ equity, and cash flows for the year then ended, and the related notes to the financial statements, for the purpose of expressing an opinion on whether the financial statements are presented fairly, in all material respects, in accordance with accounting principles generally accepted in the United States (U.S. GAAP).

Certain representations in this letter are described as being limited to matters that are material. Items are considered material, regardless of size, if they involve an omission or misstatement of accounting information that, in the light of surrounding circumstances, makes it probable that the judgment of a reasonable person relying on the information would be changed or influenced by the omission or misstatement.

Except where otherwise stated below, immaterial matters less than $[insert amount] collectively are not considered to be exceptions that require disclosure for the purpose of the following representations. This amount is not necessarily indicative of amounts that would require adjustment to or disclosure in the financial statements.

We confirm that [, to the best of our knowledge and belief, having made such inquiries as we considered necessary for the purpose of appropriately informing ourselves] [as of (date of audit report),]:

Financial Statements

・We have fulfilled our responsibilities, as set out in the terms of the audit engagement dated [insert date], for the preparation and fair presentation of the financial statements in accordance with U.S. GAAP.

・We acknowledge our responsibility for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

・We acknowledge our responsibility for the design, implementation, and maintenance of internal control to prevent and detect fraud.

・Significant assumptions used by us in making accounting estimates, including those measured at fair value, are reasonable.

・Related-party relationships and transactions have been appropriately accounted for and disclosed in accordance with the requirements of U.S. GAAP.

・All events subsequent to the date of the financial statements and for which U.S. GAAP requires adjustment or disclosure have been adjusted or disclosed.

・The effects of uncorrected misstatements are immaterial, both individually and in the aggregate, to the financial statements as a whole. A list of the uncorrected misstatements is attached to the representation letter.

・The effects of all known actual or possible litigation and claims have been accounted for and disclosed in accordance with U.S. GAAP.

[Any other matters that the auditor may consider appropriate]

Information Provided

・We have provided you with:

- Access to all information, of which we are aware that is relevant to the preparation and fair presentation of the financial statements such as records, documentation and other matters;

- Additional information that you have requested from us for the purpose of the audit; and

-Unrestricted access to persons within the entity from whom you determined it necessary to obtain audit evidence.

・ All transactions have been recorded in the accounting records and are reflected in the financial statements.

・ We have disclosed to you the results of our assessment of the risk that the financial statements may be materially misstated as a result of fraud.

・ We have [no knowledge of any] [disclosed to you all information that we are aware of regarding] fraud or suspected fraud that affects the entity and involves:

- Management;

- Employees who have significant roles in internal control; or

- Others when the fraud could have a material effect on the financial statements

・ We have [no knowledge of any] [disclosed to you all information that we are aware of regarding] allegations of fraud, or suspected fraud, affecting the entity’s financial statements communicated by employees, former employees, analysts, regulators or others.

・ We have disclosed to you all known instances of noncompliance or suspected noncompliance with laws and regulations whose effects should be considered when preparing financial statements.

・ We [have disclosed to you all known actual or possible] [are not aware of any pending or threatened] litigation, claims, and assessments whose effects should be considered when preparing the financial statements [and we have not consulted legal counsel concerning litigation, claims, or assessments].

・ We have disclosed to you the identity of the entity’s related parties and all the related-party relationships and transactions of which we are aware.

[Any other matters that the auditor may consider necessary.]

[Name of Chief Executive Officer and Title]

[Name of Chief Financial Officer and Title]

Rep Letterをもらったからといって、AuditのRiskが減るわけではありません。テストをしなくていいわけでもありません。Material Misstatementsが減るわけでもありません。

最後にもらう最重要Evidenceです。もらえなかったらScope Limitation（監査に必要な十分な証拠を得られなかった）。何かのテストが出来なかった、お抱えの弁護士とコミュニケーションできなかった、確認状の送付ができなかった、全てScope Limitationです。Unmodified Opinionにはできません ⇒ Disclaimer意見差し控え。

Legal letter

監査人がクライアントの顧問弁護士に出すレターです。訴訟どうなの？というレターです。

何が書いてあるのか？まず最初にIdentify the clientクライアントの名前、List of Litigation、Legal opinionどうなるのか、Limitations on attorney’s ability顧問弁護士が答えられない案件があるのか、All Contingenciesこれらの件についてマネジメントとちゃんとコミュニケーション取れてるんですよね？

これを出せなかった場合はUnmodified Opinionにはできません（Scope Limitation）。

RRRWILL

訴訟に関して、監査人がしなければいけないこと。

a. Read attorney bills：弁護士からの請求書を見せてもらう。何時間、何の案件について、どれくらい仕事をしたのかが書いてあります。

b. Read minutes and interim financial statements：訴訟案件について話し合われていないか、議事録も見ます。

c. Read attorney correspondence：弁護士とのやり取りのコレスポンデンスも見せてもらいます。

d. Written management representation letter：Rep Letterに「知りうる全てをDiscloseしてます、仕訳ちゃんと切ってます」の一文を入れます。

e. Internal controls in place：訴訟について、どういう内部統制が敷かれているか。

f. Lists of litigation

g. Legal letter

海外格安航空券を探すなら　スカイチケット！