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Ernst & Young Vietnam Limited
Vietnam · Ernst & Young Global Limited · Triennially Inspected
- Inspection year
- 2023
- Report date
- 12-Sep-2024
- PCAOB release
- 104-2024-139
- Audits reviewed
- 3
- Audits w/ Part I.A deficiencies
- 1
- Part I.A deficiency rate
- 33%
- Part I.A deficiencies
- 4
- Part I.B deficiencies
- 7
- Report
- View PDF ↗
Deficiencies (4)
Grouped by issuer and in the same order as the PCAOB report, so each item ties back directly to the source.
Issuer A4 deficiencies
| # | Area | Deficiency | Standard | Flags |
|---|---|---|---|---|
| 1 | Deferred Revenue | The issuer recognized certain revenue and computed the related deferred revenue using an assumption that it developed from data obtained from external sources. The firm performed certain procedures to test this external data. The firm also performed a test of details on a sample of revenue transactions to test the occurrence of this revenue. The following deficiency was identified: · The firm did not perform sufficient procedures to test the relevance and reliability of the external data because it limited its procedures to (1) confirming the data with two of the external sources and (2) verifying that certain information was appropriately captured by certain of the external sources. (AS 1105.04 and.06) In connection with our review the firm determined that it would be unable to perform additional procedures to obtain sufficient appropriate audit evidence regarding the relevance and reliability of the external data and withdrew its report on the issuer's financial statements. Shortly after the firm withdrew its report the issuer withdrew its registration statement on Form F-1. Financial statement audit only | AS 1105.4; AS 1105.6 | |
| 2 | Deferred Revenue | The issuer recognized certain revenue and computed the related deferred revenue using an assumption that it developed from data obtained from external sources. The firm performed certain procedures to test this external data. The firm also performed a test of details on a sample of revenue transactions to test the occurrence of this revenue. The following deficiency was identified: · The firm did not perform any procedures to test certain revenue transactions selected for testing. (AS 2301.08) In connection with our review the firm determined that it would be unable to perform additional procedures to obtain sufficient appropriate audit evidence regarding the relevance and reliability of the external data and withdrew its report on the issuer's financial statements. Shortly after the firm withdrew its report the issuer withdrew its registration statement on Form F-1. Financial statement audit only | AS 2301.8 | |
| 3 | Accounts Receivable | To test the existence of accounts receivable the firm sent positive confirmation requests to the issuer's customers for a sample of accounts receivable as of either an interim date or year-end. To extend its conclusions from the interim date to year-end the firm tested the respective customer's year-end account balances by agreeing subsequent cash collections from those customers to the issuer's bank statements. The following deficiency was identified: · For positive confirmation requests for which the firm did not receive a response the firm did not perform alternative procedures that provided sufficient appropriate audit evidence that the recorded amounts of the receivables were accurate as of the confirmation date. (AS 2310.31) Financial statement audit only | AS 2310.31 | |
| 4 | Accounts Receivable | To test the existence of accounts receivable the firm sent positive confirmation requests to the issuer's customers for a sample of accounts receivable as of either an interim date or year-end. To extend its conclusions from the interim date to year-end the firm tested the respective customer's year-end account balances by agreeing subsequent cash collections from those customers to the issuer's bank statements. The following deficiency was identified: · The firm did not perform sufficient procedures to extend its conclusions from the interim date to year-end because it did not perform any procedures to (1) evaluate whether the subsequent cash collections tested related to the customers' year-end account balances and (2) test any uncollected portion of the customers' year-end account balances. (AS 2301.45) Financial statement audit only | AS 2301.45 |