19-1 (Subsequent events) Green, CPA, is auditing the financial statements of Taylor Corporation

| September 13, 2016

Question
19-1 (Subsequent events) Green, CPA, is auditing the financial statements of Taylor Corporation for the year ended December 31, 20X1. Green plans to complete the fieldwork and sign the auditor’s report about May 10, 20X2. Green is concerned about events and transactions occurring after December 31, 20X1, that may affect the 20X1 financial statements.

What are the general types of subsequent events that require Green’s consideration and evaluation?

What are the auditing procedures Green should consider performing to gather evidence concerning subsequent events?

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