Explorer

For two types of revenue the following deficiencies were identified: · For this same type of revenue the firm did not perform any substantive procedures to test whether the performance obligation was satisfied before revenue was recognized. (AS 2301.08)

The firm did not perform any substantive procedures to evaluate whether these customer contracts met the collectability criteria required to recognize revenue. (AS 2301.08)

The firm did not perform sufficient substantive procedures to evaluate whether one type of revenue was appropriately recognized because the firm did not review certain customer contracts which was necessary in order to identify performance obligations and evaluate whether this revenue was appropriately recognized. (AS 2301.08)

The issuer recognized revenue based on inputs that included billing rates and labor hours incurred. The firm used certain labor hour information in its substantive testing of revenue. For certain revenue the firm did not perform any procedures to test the billing rates that the issuer used to record revenue. (AS 2301.08 and .13)

The issuer recognized certain of its revenue from contracts based on its estimated progress toward complete satisfaction of its performance obligations. The firm selected for testing a sample of these contracts but it did not perform any substantive procedures to test the issuer's estimated progress. (AS 2501.07)

The firm did not perform any procedures to test certain of the issuer's revenue disclosures. (AS 2301.08)

With respect to revenue for certain other business units that the firm subjected to less extensive audit procedures the following deficiencies were identified: · The firm did not perform any substantive procedures to test revenue for these business units (AS 2301.08)

The issuer recognized revenue from certain contracts over time using an input method based on labor hours incurred. The following deficiencies were identified: · The firm did not perform any substantive procedures to evaluate the reasonableness of the estimated labor hours to complete contracts that the firm selected for testing beyond inquiring of project managers. (AS 2501.16)

The issuer recognized revenue from certain contracts over time using an input method based on labor hours incurred. The following deficiencies were identified: · For certain of this revenue the firm did not perform any substantive procedures to test whether the issuer satisfied its performance obligations before recognizing revenue. (AS 2301.08 and .13)

The firm's substantive procedures to test this revenue consisted of selecting a sample of transactions for testing. The firm did not evaluate whether these transactions had met the collectability criteria before revenue was recognized beyond reviewing the customer's credit application. (AS 2301.08)

During the year the issuer recorded revenue from bill-and-hold arrangements with one of its customers. The following deficiencies were identified: · The firm did not perform substantive procedures to evaluate whether the issuer had met certain revenue recognition criteria for these bill-and-hold arrangements beyond reading an issuer-prepared memorandum. (AS 2301.08 and .13)

The firm did not perform any substantive procedures to test whether the issuer satisfied its performance obligations before revenue was recognized. (AS 2301.08 and .13)

The firm did not perform any substantive procedures to evaluate the appropriateness of the issuer's recognition of revenue. (AS 2301.08 and .13)

The firm did not perform procedures to evaluate the relevance and/or reliability of certain information it used as audit evidence in testing revenue. (AS 1105.04 and .06)

The following deficiencies were identified with respect to the firm's testing of revenue: · With respect to revenue disclosures the firm did not evaluate whether the disclosures about the issuer's agreements under which they recorded revenue were an accurate description of the nature of the contractual arrangements entered into by the issuer and the counterparties to the contracts. (AS 2301.08 and .13)

The issuer used an external party to assist in selling its products. In addition the issuer's license to sell certain products expired during the year. The following deficiencies were identified: · The firm did not identify obtain or evaluate the contractual arrangements between the issuer its customers and the external party. (AS 2301.08 and .13)

The issuer used an external party to assist in selling its products. In addition the issuer's license to sell certain products expired during the year. The following deficiencies were identified: · The firm did not evaluate whether it was appropriate for the issuer to recognize revenue subsequent to the expiration of its related license. (AS 2301.08 and .13)

The issuer used an external party to assist in selling its products. In addition the issuer's license to sell certain products expired during the year. The following deficiencies were identified: · The firm did not perform any procedures to test whether revenue was recognized at the appropriate amount. (AS 2301.08 and .13)

The issuer used an external party to assist in selling its products. In addition the issuer's license to sell certain products expired during the year. The following deficiencies were identified: · The firm did not perform any substantive procedures to test whether delivery had occurred. (AS 2301.08 and .13)

The issuer used an external party to assist in selling its products. In addition the issuer's license to sell certain products expired during the year. The following deficiencies were identified: · The firm did not evaluate the reliability of certain external information that it used in its substantive procedures. (AS 1105.04 and .06)

The issuer had an agreement to market products sold by another party and recognized revenue when the other party sold those products. The firm did not test when the products were sold by the other party. (AS 2301.08)

The issuer leased equipment that it then subleased to its customers. The issuer issued common stock to the lessor as payment on the lease with an opportunity for the lessor to earn additional shares of the issuer's stock if revenue milestones were met. The issuer recognized revenue from the sublease agreements net of payments to its lessor. The firm did not test the reduction of revenue related to the payments made by the issuer to the lessor of the equipment. (AS 2301.08)

The issuer leased equipment that it then subleased to its customers. The issuer issued common stock to the lessor as payment on the lease with an opportunity for the lessor to earn additional shares of the issuer's stock if revenue milestones were met. The issuer recognized revenue from the sublease agreements net of payments to its lessor. The firm did not test the terms of customer subleases to determine whether the amount and timing of gross billings to customers were appropriate. (AS 2301.08)

The issuer leased equipment that it then subleased to its customers. The issuer issued common stock to the lessor as payment on the lease with an opportunity for the lessor to earn additional shares of the issuer's stock if revenue milestones were met. The issuer recognized revenue from the sublease agreements net of payments to its lessor. The firm tested a sample of revenue transactions and identified differences. The firm did not (1) evaluate the nature and cause of the differences identified in its sample; (2) project applicable differences to the remaining revenue population; and (3) evaluate if the projected differences were material to the financial statements. (AS 2315.26 and .27; AS 2810.17)

The issuer recognized revenue from multiple sources through its subsidiaries. To test revenue from two subsidiaries the firm selected revenue transactions for testing. The following deficiency was identified related to these subsidiaries: · The firm did not perform procedures to evaluate whether all performance obligations were appropriately identified beyond obtaining and reading an issuer-prepared memo related to revenue recognition policies. (AS 2301.08 and .13)

The firm's substantive procedures to test revenue included selecting a sample of revenue transactions for testing. The firm's sample was not representative of the population because the firm did not select any transactions for one type of revenue without performing procedures to determine whether all revenue transactions were homogeneous based on their characteristics. (AS 2315.16)

The firm did not evaluate whether the issuer's disclosures were in compliance with the requirements of FASB Topic ASC 606 Revenue from Contracts with Customers to disaggregate revenue into categories that depict how the nature amount timing and uncertainty of revenue and cash flows are affected by economic factors. (AS 2301.08 and .13)

The firm did not perform any substantive procedures to test certain revenue. (AS 2301.08)

The firm did not perform any substantive procedures to evaluate whether the performance obligations were satisfied before revenue was recognized. (AS 2301.08)

The firm did not perform any substantive procedures to evaluate whether the performance obligation(s) was satisfied before certain revenue was recognized. (AS 2301.08)

The firm did not perform any substantive procedures to evaluate whether the performance obligations were satisfied before certain revenue was recognized. (AS 2301.08 and .13)

The firm's substantive procedures to test two types of revenue consisted of performing analytical procedures and testing a sample of transactions. The following deficiency was identified: · The firm selected a sample of transactions to perform its test of details over the first type of revenue. The firm did not perform procedures to test whether the issuer met the performance obligation prior to the recognition of revenue for certain transactions. (AS 2301.08)

The firm's substantive procedures to test revenue included analytical procedures. The firm developed its expectation for its analytical procedures using recorded amounts of revenue. The firm did not evaluate whether this data was sufficiently relevant and reliable for purposes of achieving its audit objectives. (AS 1105.04 and .06; AS 2305.16)

The issuer recognized several types of revenue. The following deficiency was identified: · The firm did not perform procedures to test or identify and test any controls over the completeness of a report from which it made its selections to test two types of revenue. (AS 1105.10)

The issuer recognized several types of revenue. The following deficiency was identified: · The firm did not perform sufficient procedures to evaluate whether the issuer's accounting for one of these types of revenue as the principal rather than as an agent was appropriate because the firm concluded that the issuer had the ability to direct and control the goods or services but it did not perform any procedures to support this conclusion. (AS 2301.08 and .13)

The issuer recognized several types of revenue. The following deficiency was identified: · The firm did not perform procedures to evaluate the issuer's determination of the transaction price for a sample of transactions for a third type of revenue. (AS 2301.08 and .13)

The issuer recognized certain revenue based on its estimated progress toward complete satisfaction of the performance obligations. The firm did not perform any procedures to test a disclosure related to this revenue. (AS 2301.08)

The firm's substantive procedures to test revenue included testing a sample of revenue transactions and performing year-end cut-off procedures. The following deficiencies were identified: - For certain selected transactions the firm did not perform any procedures to test whether performance obligations had been satisfied prior to the recognition of revenue. (AS 2301.08)

The firm's substantive procedures to test revenue included testing a sample of revenue transactions and performing year-end cut-off procedures. The following deficiencies were identified: - For contracts with multiple performance obligations the firm did not perform substantive procedures to test the allocation of the transaction price to each performance obligation beyond comparing the allocation to the payment terms in the contract. (AS 2501.07)

The firm's substantive procedures to test revenue included testing a sample of revenue transactions and performing year-end cut-off procedures. The following deficiencies were identified: - The firm did not perform any procedures to test or in the alternative identify and test any controls over the completeness of the revenue transactions tested in its cut-off procedures. (AS 1105.10)

The issuer entered into a contract with a customer that contained multiple products and services. The following deficiencies were identified: - In its testing the firm identified evidence indicating that the issuer may not have had legal title to the products and services it offered under this arrangement. The firm did not perform any substantive procedures to evaluate this contradictory evidence and the related effect on revenue recognition. (AS 2301.08; AS 2810.03)

The issuer entered into a contract with a customer that contained multiple products and services. The following deficiencies were identified: - The firm did not perform any substantive procedures beyond inquiry of management to test whether the performance obligation was satisfied prior to the recognition of revenue. (AS 2301.08)

The firm did not sufficiently evaluate whether the issuer's method to recognize revenue on a gross basis was appropriate because the firm did not evaluate certain indicators of net basis that existed. (AS 2301.08 and .13)

The issuer recognized revenue from multiple business entities. The following deficiencies were identified: · The firm did not test transaction prices used in recording revenue for one business entity. (AS 2301.08 and .11)

The issuer recognized revenue from multiple business entities. The following deficiencies were identified: · The firm did not perform any procedures to test the occurrence and allocation of certain revenue for another business entity. (AS 2301.08 and .11)

The issuer recognized revenue from multiple business entities. The following deficiencies were identified: · The firm did not perform sufficient procedures to test certain revenue for the above business entity and a third business entity because its procedures were limited to (1) agreeing revenue to sales invoices and (2) documenting the terms of the agreement with customers for certain transactions. (AS 2301.08 and .11)

The issuer recognized revenue from multiple business entities. The following deficiencies were identified: · The firm did not perform sufficient procedures to test revenue for a fourth business entity because it did not test the adjustment of revenue for the redemption of gift cards. (AS 2301.08 and .11)

The issuer recognized revenue from multiple business entities. The following deficiencies were identified: · The firm did not perform sufficient procedures to test revenue for a fifth business entity because its procedures were limited to agreeing revenue to issuer-produced sales invoices. (AS 2301.08 and .11)

The firm did not perform any procedures to test the disclosure related to revenue allocated to remaining performance obligations. (AS 2301.08 and .11)

The issuer recognized several types of revenue. The following deficiencies were identified: · For one type of revenue the firm selected a sample of transactions for testing. The firm did not perform procedures to test whether revenue was appropriately recognized for the sampled transactions beyond obtaining issuer-produced sales orders. (AS 2301.08 and .13)