Yu Certified Public Accountant, P.C.

United States · Triennially Inspected

Deficiencies (3)

Grouped by issuer and in the same order as the PCAOB report, so each item ties back directly to the source.

#	Area	Deficiency	Standard
1	Accounts Receivable	The firm did not perform any procedures to evaluate whether the issuer's disclosure of the credit quality of certain accounts receivable was in conformity with FASB ASC Topic 326 Financial Instruments — Credit Losses. (AS 2810.30 and .31) Financial statement audit only	AS 2810.30; AS 2810.31
2	Accounts Receivable	The firm did not perform procedures to evaluate whether the issuer's classification of certain accounts receivable as current assets was in conformity with FASB ASC Topic 210 Balance Sheet. (AS 2810.30 and .31) Financial statement audit only	AS 2810.30; AS 2810.31
3	Allowance for Credit/Loan Losses	The issuer engaged a specialist to determine a current estimate of expected credit losses. The company's specialist determined expected credit losses by evaluating certain receivables on a collective (pool) basis. The firm did not perform sufficient procedures to evaluate whether this method was consistent with the requirements of FASB ASC Topic 326 because the firm did not consider certain specific risk characteristics of a receivable included in the pool including its size vintage and external credit rating. (AS 1105.A8c) Financial statement audit only	AS 1105.A8c