Originally Posted by purcell
I think it's cute that you actually think an Audit Report means something in this context.
Especially a Swiss one done under IFRS.
Ferryman, if my post was insulting so was purcell's by the tone. Do you actually know anything about auditing? What I originally posted, that purcell replied to, was the easiest thing about auditing to fathom. It was simple. If purcell can get the simplest thing completely wrong and mock me at the same time, even if it is a weak form of mockery, then a sarcastic reply is almost guaranteed in the real world. Do the mods expect us to sugar coat everything for the newbies? Whatever, I get your point but my reply was worded as it was because purcell's interpretation was a complete 180 turn on what was very simple and easy to recognise.
Purcell got the context and implication 100% wrong. Nobody mentioned jack about an audit report. It was clearly implied the physical scope of the audit was what mattered. And that means checking with a bank rec that the cash is in an account. Simplest thing in the world. Well for countries that have proper regulation systems in measure it is. Oh snap, that means the Swiss!
Short story is, they are getting paid and it is very very simple to verify. Audit's are about guarantee, well the audit report is. It involves a qualitative report on quantifiable data, of which they take samples randomly (accounts, stock and inventory, payment schedules, etc). This is the one thing where they don't take a sample. They check the entire thing. Why? Because that is the chief aim with their role with the UCI and team analysis. There is no need for random sampling as this is about PAYMENT of SALARIES. So they check the physical account. Simple bank rec and it's either there or isn't. Same thing happened with Christina Watches this last week. Had an issue with the paperwork, needed to clarify money was there, the delay was getting the bank to confirm the cash was in the account. But purcell should know this if he/she knew anything about auditing. Same theory at play, different example.
BTW IFRS is irrelevant in this context. So why mention it? And the real sinker, is that purcell was laughing at the Swiss. Look at Europe economically and financially. The only people anyone should be taking seriously above and beyond anyone else in Europe ATM is the Swiss and Germans. If I need to spell out why, then it's beyond a person, because they clearly count using their fingers and toes. That isn't being mean or discriminatory, it's calling a spade a spade in this current economic climate. Some countries are run better than others and a lot of that comes down to accounting and financial regulation. Ask the Americans about that and the GFC. Swiss Businesses have good reps for a reason.
If that still doesn't make sense, then ask Rabo and the Dutch after this case who advised them to do what they did to the Chicken. If that person is still in employment, they won't be for much longer. The UCI want money. They get that through the teams and sponsorship and they make damn well sure it is in the bank before you get accredited and rubber stamped. If Ernst and Young say the cash is there, then their word should be taken, not joked about like purcell's post implies. EY don't employ idiots. I know. FWIW I don't like a lot of the history behind Swiss banking, but their business is the UCI's purpose for existing. Also look at the UCI headquarters. They probably just shopped around the town for a reliable business to check accounts. Not hard to find in Switzerland.
This is all basic auditing theory. Not hard to fathom if you've studied it. I have, has purcell?