Southern New Hampshire University Acc 411 Auditing Principle

Southern New Hampshire University ACC 411 Auditing Principles Project ThreeFinancial Statement Audit Report 02:22:38 GMT -05:00To the Shareholders and Board of Directors of Cloud9, Inc,This audit aimed to provide our opinion on Cloud9, Inc.’s financial statement for the year ending December 31,2025. We conducted the audit in adherence to the standards set by thePublic Company Accounting Oversight Boards (PCAOB). We have audited the balance sheets of the company as of December 31, 2025, and 2024, along with the related statements of income, stockholders’ equity, comprehensive income, and cash flows for each of the three years ending December 31, 2025, as well as related notes and schedules. Our report dated February 20, 2026, collectively referred to as the financial statements, conveys our opinion.Cloud9 recognizes contracts before completing obligations, violating ASC 606. This standard emphasizes recognizing revenue only upon satisfying performance obligations. This affects revenue recognition due to 100 contracts being verified by clients. Financial ratios indicate solvency, but management expects a decline in earnings due to new store and sponsorship costs. Although major borrowings are not due for four years, the unused line of credit may be drawn upon if unexpected cash needs arise. Testing revealed two errors