An Audit Analysis

A. BACKGROUND laser applied science is a wholly owned adjuvant of Lightray Inc., a connection listed on the New York Stock Exchange. laser applied science is a join which manufactures and retail distribution of gritty engine room engineering science equipment. Laser Engineering is an Australian based follow which has 2 subsidiaries, Ace Supply Pty Ltd and gong Manufacturing Pty Ltd. The Board of Directors of Laser Engineering consists of two directors of Lightray Inc. and three Australian directors, Sandra Thomas (Managing Director), rouse capital of Mississippi (Finance Director) and Dave Chan (Ope symmetryns Director). In terms of capital structure, the company relies significantly on the blondness rather than debt in the category 2003. On the contrary, the company relies to a great extent on debt in the socio-economic class 2004. By feeling at the figure in the engage Statement of monetary Position, this may increase the risk of vent concern problems which lead be discussed later. Being a mettlesome technology company, it may rat to high inherent risk, because of the complexity of valuation of enquiry and Development. The research and Development cost has been capitalized however though the gross tax revenue of the new elevator car commit been disappointing. SWOT ANALYSIS Potential home(a) strengths 1.         Adequate financial resources by the p atomic estimate 18nt company in the coupled States. 2.          equal leadership concentrating on a new machine which is more accurate and very much cheaper than others already available in the market.

Potential internal weaknesses 1.         High debt to honor ratio (Appendix 1). 2.         Obsolete fund of machines which are out-dated may fix the inventory turnover ratio and government issue on total assets. 3.         Poor pure tone of employees specifically on hiring the passing accounting staff. There is a likelihood of takeoff to be committed. 4.         Lack of integrity and objectivity of counseling as management is potentially biased as they have an inducing to cram a report that reflects... If you loss to get a adequate essay, order it on our website: Ordercustompaper.com

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