Comments

  1. avatar says

    the student asked what is the usefulness of an audit report to an individual shareholder if there is no duty of care to an individual shareholder. as if whats the basic point of an audit report if no one can question on its credibility…i do understand that the answer could have been unprofessional but that’s something i still would want to know as making it a secret makes it more interesting

    • Profile photo of MikeLittle says

      @adxax, I have no idea what led up to my comment about “I’ll talk to you later” As previously posted, it could have been a little escape of unprofessional language but equally it could have been a really stupid question and I didn’t want to point out in a recording just what a stupid question it was.

      If anyone is interested, and if you’re prepared to listen all the way through again and post the question which prompted my comment, then do so and I’ll try to remember what I said to that particular student

      • avatar says

        @MikeLittle, the student asked what is the usefulness of an audit report to an individual shareholder if there is no duty of care to an individual shareholder. as if whats the basic point of an audit report if no one can question on its credibility…i do understand that the answer could have been unprofessional but that’s something i still would want to know as making it a secret makes it more interesting

      • Profile photo of MikeLittle says

        @adxax, An audit report expresses the opinion of a ( very professional ) person in terms of “having carried out the audit on a test basis the reporting auditor has gained reasonable assurance that the financial statements are free from material misstatement whether arising through fraud, error or other irregularity”

        Now, I appreciate the difficulties for an auditor to be any more definitive than that and institutional investors will appreciate too that it’s impracticable ( and expensive ) if an auditor were to be more certain.

        But just how much reassurance does Joe Public get from reading that audit report?

        Mind you, I could extend that point and say “How much does Joe Public get from the Financial Statements as a whole?” or even the “Annual report which includes the Financial Statements and a whole lot of other information?”

        I don’t know! Do you?

  2. Profile photo of affera says

    if i were actually sitting in the class, i would ask the same question!! and as a member of Opentuition i guess i deserve to know the answer…
    Mike that was so not ethical to say you will tell him the answer in private!

      • Profile photo of MikeLittle says

        @affera, Hi

        I don’t know what the question was – I don’t want to sit hear and listen to myself – it’s bad enough having to be there when I’m talking!

        Whatever the question was, it’s likely that I was going to use some “unprofessional language” in my reply and therefore did not wish to go public on it.

        But anyway, I have a very thick skin and “rudeness” tends to slide off me so don’t worry about it :-)

Leave a Reply