Writing a Memo
Due: 11:59 p.m. EST, Sunday of Unit 5Points: 100
Overview:
To demonstrate your understanding of the content and to practice your research and your writingskills, you will be writing memo following APA – choosing from a list of 3 topics.
Instructions:
Using what you have learned in our class, you will be writing a memo that is about one of thefollowing topics:
TOPIC 1:
During your first audit of a new client, Capital Food Supplies, a small restaurant food supplycompany, you become aware of a major weakness in internal control: One employee keeps the accountsreceivable and payable records, pays bills, and does the bank reconciliation each month When youcasually mention the problem to Scott Devin, the owner and general manager, he dismisses the issue.He says he trusts all his employees, has never had any problems, and can’t afford to hire anotheremployee just to deal with such a small internal control technicality. Writing a letter to your clienttactfully explaining why you do not consider the problem to be “a smalltechnicality.” Explain the possible ramifications of not dealing with the issue, both in terms ofthe audit and in terms of asset protection. Use the proper format, effective organization, andappropriate style. Invent any information you feel is necessary to make your letter complete.
Writing a Memo Due: 11:59 p.m. EST, Sunday of Unit 5 Points: 100 Overview: To demonstrate your understanding of the content and to practice your research and your writing skills, you will be writing memo following APA – choosing from a list of 3 topics. Instructions: Using what you have learned in our class, you will be writing a memo that is about one of the following topics: TOPIC 1: During your first audit of a new client, Capital Food Supplies, a small restaurant food supply company, you become aware of a major weakness in internal control: One employee keeps the accounts receivable and payable records, pays bills, and does the bank reconciliation each month. When you casually mention the problem to Scott Devin, the owner and general manager, he dismisses the issue. He says he trusts all his employees, has never had any problems, and can’t afford to hire another employee just to deal with such a small internal control technicality. Write a letter to your client tactfully explaining why you do not consider the problem to be “a small technicality.” Explain the possible ramifications of not dealing with the issue, both in terms of the audit and in terms of asset protection. Use the proper format, effective organization, and appropriate style. Invent any information you feel is necessary to make your letter complete. TOPIC 2: The CPA firm you work for, Sutton, Alexander, and Jones, has been in practice for five years. The majority of the tax work done for its clients, who are mostly small businesses, is the preparation of state and federal income tax returns. One of the firm’s tax partners, Hugh Sutton, mentioned to you the possibility that the firm might expand its services to offer tax planning for the owners of small businesses. Write a memo to Mr. Sutton in which you discuss the advantages and disadvantages of offering tax planning as an additional service. ACC501: Research and Writing Unit 5 Assignment TOPIC 3: Assume you are a CPA specializing in tax accounting for individuals in your community. One of your clients, Alicia Evans, has sent you the following email. As you know, I have recently returned to work full time and need to hire someone to help me with house cleaning. I need to know what, if any, obligations I will have for withholding social security. Will I have any other tax or reporting obligations? I am considering the following possibilities: • Hiring an individual who has a business license and is self-employed as a contractor. This person would clean my house weekly. In return, I would pay this person $100 a week for 50 weeks of the year. • Using a cleaning service, who would send one of its employees to my home. I would use this service biweekly at $125 per visit, for a total of 26 visits per year. • Hiring my neighbor, who does not have a business license. She would clean my house biweekly, and I would pay her $75 each visit, for a total of 26 visits each year. I have one more question. Can I deduct any of the above expenses for house cleaning from my own income tax? After all, if I were not working I would not need to hire someone else to clean my house. It seems to me the house cleaning should be a legitimate business expense. Please send the answer to the above questions to my home by registered mail. You have my address on file. Write a letter to Ms. Evans in which you answer her questions and make a recommendation of how she should proceed. Please be sure to include scholarly research and support for your findings as you address the questions outlined above in your paper. Also, please note, the textbook outlines specific requirements for memos. Be sure your submission incorporates these required elements. Thank you! APA formatting is required for your submission. Be sure to review the use of APA formatting and scholarly source assistance located in the “Writing Tips” area of our class to assist you. CRITERIA Proficient Competent Apprentice Novice (36-40 Points) (32-35 Points) (28-31 Points) (0-27 Points) Integration of Knowledge and Critical Analysis Excels in responding to assignment and demonstrates mastery and has applied course concepts and materials learned in the course. Presents a clear, focused, and compelling argument. Responds appropriately to the assignment, demonstrates clear understanding of course concepts and materials learned in the course. Presents a good argument that is clearly articulated though might need refining. Does not fully respond to the assignment, demonstrates some misunderstanding of course concepts and materials learned in the course. Presents a weak argument Does not respond to the assignment. Does not demonstrate an understanding of course concepts and materials learned in the course. (27-30 Points) (24-26 Points) (21-23 Points) (0-20 Points) Evidence and Support Responses are thoroughly supported by strong, specific and appropriate evidence. All areas of the assignment have been addressed using relevant and recent research and information available including but not limited to standard auditing textbook, the “Statements on Auditing Standards” issued by the Auditing Standards Board, or any other relevant authoritative pronouncements produced by the Responses are supported by relevant evidence, though not always the strongest or most relevant. Major areas of the assignment have been addressed using relevant and recent research and information available including but not limited to standard auditing textbook, the “Statements on Auditing Standards” issued by the Auditing Standards Board, or any other relevant authoritative pronouncements produced by the Responses are supported by limited evidence with minimal relevance. Some areas of the assignment have been addressed using relevant and recent research and information available including but not limited to standard auditing textbook, the “Statements on Auditing Standards” issued by the Auditing Standards Board, or any other relevant authoritative pronouncements produced by the AICPA and the PCAOB Responses are not supported by relevant evidence. AICPA and the PCAOB AICPA and the PCAOB (14-15 Points) (12-13 Points) (10-11 Points) (0-9 Points) Organization and Structure Responses flow logically to craft a cohesive argument. Paragraphs clearly guide the reader through a progression of ideas. Most responses form well- constructed flow of ideas. Paragraphs are ordered thoughtfully; most paragraphs relate to a central argument. Some responses form well- constructed flow of ideas. Paragraphs are somewhat ordered thoughtfully, with a few paragraphs related to the central argument. Responses lack a clear structure with information not together. Writing does not demonstrate understanding any relationships. (14-15 Points) (12-13 Points) (10-11 Points) (0-9 Points) Style, Mechanics and Citations The writing is clear and concise and almost entirely free from spelling, grammar and punctuation errors. As applicable in the assignment, all sources are cited correctly and completely following the APA format. The writing is clear and concise with a few spelling, grammar or punctuation errors but does not impede understanding. As applicable in the assignment, most sources are cited correctly and completely. The writing is somewhat clear and concise with a several spelling, grammar or punctuation errors Understanding is somewhat impeded. As applicable in the assignment, some sources are cited correctly. The writing is unclear with unacceptable number of spelling, grammar or punctuation errors. As applicable in the assignment, sources are not cited or are cited incorrectly.