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The firm did not identify and evaluate that certain of the issuer's disclosures related to revenue were inaccurate. (AS 2810.30 and .31)

The firm did not identify and evaluate the issuer's omission of certain disclosures required by FASB ASC Topic 606 Revenue from Contracts with Customers. (AS 2810.30 and .31)

The firm did not identify and evaluate the issuer's omission of certain disclosures required by FASB ASC Topic 606 Revenue from Contracts with Customers. (AS 2810.30 and .31)

The firm did not identify and appropriately address the issuer's omission of certain required disclosures under FASB ASC Topic 606 Revenue From Contracts with Customers related to qualitative and quantitative information about (1) the issuer's existing contracts with customers; (2) the significant judgments and changes in the judgments made by the issuer in applying the guidance to those contracts; and 3) any assets recognized by the issuer from the costs to obtain or fulfill a contract with a customer. (AS 2810.30 and .31)

The issuer generated revenue through two types of transactions: Method A and Method B. The issuer calculated Method B revenue by multiplying the number of products delivered by the quarterly average price per product for Method A revenue which was provided to the issuer by an unrelated party. The following deficiencies were identified: · The firm did not perform sufficient substantive procedures to evaluate whether the issuer's recognition of Method B revenue was in conformity with FASB ASC Topic 606 Revenue from Contracts with Customers because the firm did not evaluate whether Method B revenue which was substantially derived from nonmonetary exchanges had commercial substance. (AS 2301.08 and .13)

The firm did not perform sufficient procedures to evaluate whether all performance obligations were appropriately identified because it did not (1) perform procedures to identify and review all customer agreements/contracts that may contain promises to provide distinct goods or services and (2) evaluate whether any such promises identified should be accounted for as separate performance obligations. (AS 2301.08 and .13)

The firm did not identify and evaluate the issuer's omission of a required disclosure under FASB ASC Topic 606 Revenue from Contracts with Customers related to significant payment terms. (AS 2810.30 and .31) In connection with our review the issuer reevaluated this disclosure and concluded that a misstatement existed that had not been previously identified. The issuer subsequently corrected this misstatement in a restatement of its financial statements.

For one type of revenue the issuer determined that it was the agent in the arrangements with its customers and recognized revenue on a net basis. The firm did not identify and evaluate a misstatement in the issuer's disclosures related to this revenue in which the issuer disclosed it was the principal and recognized revenue on a gross basis. (AS 2810.30 and .31) In connection with our review the issuer reevaluated this disclosure and concluded that a misstatement existed that had not been previously identified. The issuer subsequently corrected this misstatement in a restatement of its financial statements.

For another type of revenue the firm did not perform any substantive procedures beyond reading an issuer-prepared memorandum to evaluate whether the issuer's recognition of this revenue and related disclosure was in conformity with FASB ASC Topic 606. (AS 2301.08 and .13)

The firm did not evaluate the terms and conditions of agreements related to certain revenue to determine if the revenue was recognized in conformity with FASB ASC Topic 606 Revenue from Contracts with Customers. (AS 2301.08 and .13)

The firm did not perform any procedures to evaluate whether the issuer's revenue was recognized in conformity with FASB ASC Topic 606. (AS 2301.08 and .13)

The firm did not identify and evaluate a departure from GAAP related to the issuer's omission of a disclosure required by FASB ASC Topic 606. (AS 2810.30 and .31

The issuer entered into agreements with counterparties some of whom were related parties to provide services to the issuer's customers. The issuer charged the counterparties a nonrefundable fee which the issuer recorded as revenue at the time of the agreement for facilitating the arrangement between the counterparty and the customer. With respect to the counterparty agreements with related parties discussed above the firm did not (1) obtain an understanding of the business purpose of the transactions; (2) evaluate whether the issuer had properly identified all related parties and relationships and transactions with related parties; and (3) evaluate whether all related party transactions were disclosed in conformity with FASB ASC Topic 850 Related Party Disclosures. (AS 2410.03 .12 .14 and .17)

In addition the firm did not identify and evaluate a departure from GAAP related to the omission of certain disclosures required by FASB ASC Topic 235 Notes to Financial Statements and FASB ASC Topic 606 Revenue from Contracts with Customers. (AS 2810.30 and .31)

The firm did not evaluate (1) whether the issuer was recognizing revenue in conformity with FASB ASC Topic 606 Revenue from Contracts with Customers and (2) whether the revenue disclosures were accurate in light of certain information documented in the firm's work papers. (AS 2301.08)

The firm's internal inspection program inspected this audit and reviewed this area but did not identify the deficiency below. The firm did not perform procedures to evaluate whether the recognition of revenue and related disclosures regarding the number of performance obligations in the financial statements were in conformity with FASB ASC Topic 606 Revenue from Contracts with Customers. (AS 2301.08 and .13)

The firm's internal inspection program inspected this audit and reviewed this area but did not identify the deficiency below. The firm did not identify and evaluate a departure from GAAP related to the issuer's omission of certain disclosures required by FASB ASC Topic 606. (AS 2810.30 and .31)

The firm did not identify and evaluate departures from GAAP related to the issuer's inaccurate disclosures that it recognized revenue in conformity with FASB ASC Topic 605 Revenue Recognition which was superseded by FASB ASC Topic 606 Revenue from Contracts with Customers prior to the year under audit. (AS 2810.30 and .31) Unrelated to our review the issuer reevaluated its disclosures of revenue recognition and determined that the disclosures were inaccurate. The issuer did not file an amended Form 10-K or a Form 8-K indicating that its previously issued financial statements should not be relied on. Instead the issuer corrected the disclosures in a subsequent filing. The firm reissued its report on the financial statements.

The firm did not identify and evaluate departures from GAAP related to the issuer's omission of certain disclosures required by FASB ASC Topic 606 Revenue from Contracts with Customers. (AS 2810.30 and .31)

The firm did not identify and evaluate the significance to the financial statements of a departure from GAAP related to the issuer not adopting FASB ASC 606 Revenue from Contracts with Customers and the omission of the required disclosures. (AS 2810.30 and .31)

The following deficiency was identified: · The firm did not perform sufficient procedures to evaluate whether the issuer recognized certain revenue in conformity with IFRS 15 Revenue from Contracts with Customers because the firm limited its procedures to revenue recognized from a single customer and did not perform any procedures to evaluate the issuer's recognition of revenue from the remaining customers. (AS 2301.08 and .13)

The firm did not identify and evaluate a departure from GAAP related to the recognition of revenue for a tax credit which was not in conformity with FASB ASC Topic 606 Revenue from Contracts with Customers. (AS 2810.30 and .31)

The firm did not perform sufficient substantive procedures to evaluate whether the issuer recognized revenue in conformity with FASB ASC Topic 606 because the firm did not evaluate all terms and conditions included in the issuer's contracts that could affect the recognition of revenue. (AS 2301.08 and .13)