Apollo Shoes Memo - Apollo Shoe, Inc Case Memorandum To:...

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Apollo Shoe, Inc Case Memorandum To: Darlene Wardlaw CC: XXXXX From: XXXXXXX Date: XXXXXX Re: Prepaids, Fixed, and other assets Memo In review of the fixed asset detail listing, it would appear that the depreciation schedule is incorrect for Machinery. Apollo purchased the asset on January 5, 2007 for $1,295,359.98 with a 5-year useful life and the schedule shows depreciation at $185,051.43 when it should have been $259,072.00 (1,295,359.98/5). The machinery was purchased so that Apollo can make the shoes themselves but the machine has still yet to be placed in service. As for the rest of the audit, Crumpler has found that the invoice for ZZZ Best Building Repair Company appears to be in order. Apollo had sustained damage to the building in April from the hurricane and the invoice of $50,408 matches up with the cancelled check. He also reviewed three cancelled checks pertaining to the new computer system purchase in July totaling $1,295,359.98. All invoices appear to be in order and match perfectly to the cancelled checks. The invoices from the Repairs and Maintenance account have been scanned and appear to be expensed according to the company policy and the titles of the land, building, and vehicles have been examined and are properly
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This note was uploaded on 02/22/2011 for the course ACCT 492 taught by Professor Urdank during the Fall '10 term at University of Phoenix.

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Apollo Shoes Memo - Apollo Shoe, Inc Case Memorandum To:...

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