Audiovox 2006 Annual Report Download - page 42

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REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
Board of Directors and Stockholders
Audiovox Corporation
We have audited the accompanying consolidated balance sheets of Audiovox Corporation (a Delaware
corporation) and subsidiaries (the ‘‘Company’’) as of February 28, 2007 and 2006, and the related
consolidated statements of operations, stockholders’ equity and comprehensive income (loss) and cash
flows for the year ended February 28, 2007, three months ended February 28, 2006 and years ended
November 30, 2005 and 2004. These financial statements are the responsibility of the Company’s
management. Our responsibility is to express an opinion on these financial statements based on our
audit.
We conducted our audit in accordance with the standards of the Public Company Accounting
Oversight Board (United States). Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of material misstatement.
An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the
financial statements. An audit also includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall financial statement presentation. We
believe that our audits provide a reasonable basis for our opinion.
In our opinion, the consolidated financial statements referred to above present fairly, in all material
respects, the financial position of Audiovox Corporation and subsidiaries as of February 28, 2007 and
2006, and the results of their operations and their cash flows for the year ended February 28, 2007,
three months ended February 28, 2006 and years ended November 30, 2005 and 2004 in conformity
with accounting principles generally accepted in the United States of America.
As discussed in Note 1t of the notes to consolidated financial statements, the Company has adopted
Financial Accounting Standards Board Statement No. 123(R), Share-Based Payments on
December 1, 2005.
Our audit was conducted for the purpose of forming an opinion on the basic financial statements
taken as a whole. The Schedule II as of and for the year ended February 28, 2007, three months
ended February 28, 2006 and years ended November 30, 2005 and 2004 is presented for purposes of
additional analysis and is not a required part of the basic financial statements. This schedule has been
subjected to the auditing procedures applied in the audit of the basic financial statements and, in our
opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a
whole.
We also have audited, in accordance with the standards of the Public Company Accounting Oversight
Board (United States), the effectiveness of the Company’s internal control based on criteria
established in Internal Control – Integrated Framework issued by the Committee of Sponsoring
Organizations of the Treadway Commission (the COSO criteria) and our report dated May 11, 2007
expressed an unqualified opinion thereon.
GRANT THORNTON LLP
Melville, New York
May 11, 2007
F-2