This document provides a guide for ACC 562 final exam with 17 multiple choice questions covering topics such as developing an understanding of the client's business and industry, ratio analysis, internal controls, audit sampling, audit documentation, subsequent events, and assurance services. It directs the reader to a website to purchase the exam guide and study additional accounting classes.
This document provides a multiple choice quiz for an ACC 562 final exam. It includes 44 questions testing concepts related to auditing, accounting, internal controls, and corporate governance. Correct answers are indicated as true or false. The questions cover topics such as internal controls, audit risk assessment, audit sampling, revenue and expense recognition, and accounting standards.
For more course tutorials visit
Uophelp is now newtonhelp.com
www.newtonhelp.com
1.Developing an understanding of the client's business and industry is essential to proficiency as discussed in the general standards of GAAS. (Points: 4)
True
False
2. Ratio analysis only involves a year-to-year comparison of account balances. (Points: 4)
True
False
For more course tutorials visit
www.tutorialrank.com
1. Developing an understanding of the client's business and industry is essential to proficiency as discussed in the general standards of GAAS. (Points: 4)
True
False
2. Ratio analysis only involves a year-to-year comparison of account balances. (Points: 4)
True
False
3. Control is considered to be part of corporate governance. (Points: 4)
True
False
This document contains a true/false exam for an ACC 562 final. It covers various topics related to auditing including understanding the client's business, internal controls, audit sampling, analytical procedures, audit documentation, subsequent events, and more. There are 66 total true/false questions testing knowledge of these audit-related concepts.
For more classes visit
www.snaptutorial.com
1.Developing an understanding of the client's business and industry is essential to proficiency as discussed in the general standards of GAAS. (Points: 4)
True
False
2. Ratio analysis only involves a year-to-year comparison of account balances. (Points: 4)
True
False
Developing an understanding of the client's business and industry is essential to proficiency as discussed in the general standards of GAAS. (Points: 4)
True
False
2. Ratio analysis only involves a year-to-year comparison of account balances. (Points: 4)
True
False
This document contains a 17 question true/false quiz that covers various topics in auditing, including understanding a client's business and industry, internal controls, audit documentation, subsequent events, contingencies, leases, and more. It tests the examinee's knowledge of these audit-related concepts.
This document provides a guide for ACC 562 final exam with multiple choice questions covering various accounting and auditing topics such as internal controls, audit sampling, analytical procedures, inventory testing, and impairment of goodwill. It also includes links to purchase study materials and visit the website for more classes. The questions are designed to test understanding of concepts discussed in the course.
This document provides a multiple choice quiz for an ACC 562 final exam. It includes 44 questions testing concepts related to auditing, accounting, internal controls, and corporate governance. Correct answers are indicated as true or false. The questions cover topics such as internal controls, audit risk assessment, audit sampling, revenue and expense recognition, and accounting standards.
For more course tutorials visit
Uophelp is now newtonhelp.com
www.newtonhelp.com
1.Developing an understanding of the client's business and industry is essential to proficiency as discussed in the general standards of GAAS. (Points: 4)
True
False
2. Ratio analysis only involves a year-to-year comparison of account balances. (Points: 4)
True
False
For more course tutorials visit
www.tutorialrank.com
1. Developing an understanding of the client's business and industry is essential to proficiency as discussed in the general standards of GAAS. (Points: 4)
True
False
2. Ratio analysis only involves a year-to-year comparison of account balances. (Points: 4)
True
False
3. Control is considered to be part of corporate governance. (Points: 4)
True
False
This document contains a true/false exam for an ACC 562 final. It covers various topics related to auditing including understanding the client's business, internal controls, audit sampling, analytical procedures, audit documentation, subsequent events, and more. There are 66 total true/false questions testing knowledge of these audit-related concepts.
For more classes visit
www.snaptutorial.com
1.Developing an understanding of the client's business and industry is essential to proficiency as discussed in the general standards of GAAS. (Points: 4)
True
False
2. Ratio analysis only involves a year-to-year comparison of account balances. (Points: 4)
True
False
Developing an understanding of the client's business and industry is essential to proficiency as discussed in the general standards of GAAS. (Points: 4)
True
False
2. Ratio analysis only involves a year-to-year comparison of account balances. (Points: 4)
True
False
This document contains a 17 question true/false quiz that covers various topics in auditing, including understanding a client's business and industry, internal controls, audit documentation, subsequent events, contingencies, leases, and more. It tests the examinee's knowledge of these audit-related concepts.
This document provides a guide for ACC 562 final exam with multiple choice questions covering various accounting and auditing topics such as internal controls, audit sampling, analytical procedures, inventory testing, and impairment of goodwill. It also includes links to purchase study materials and visit the website for more classes. The questions are designed to test understanding of concepts discussed in the course.
For more classes visit
www.snaptutorial.com
1.Developing an understanding of the client's business and industry is essential to proficiency as discussed in the general standards of GAAS. (Points: 4)
True
False
2. Ratio analysis only involves a year-to-year comparison of account balances. (Points: 4)
True
For more classes visit
www.snaptutorial.com
1.Developing an understanding of the client's business and industry is essential to proficiency as discussed in the general standards of GAAS. (Points: 4)
True
False
This document discusses designing substantive audit procedures. It covers determining detection risk based on inherent and control risk, and how the nature, timing, and extent of substantive procedures varies with detection risk. The document describes analytical procedures, tests of details of transactions, and tests of details of balances as types of substantive procedures. It also discusses developing audit programs, computer-assisted techniques, and special considerations like estimates and related parties.
ACC 492 NEW Effective Communication/tutorialrank.comjonhson247
This document outlines the course content for ACC 492, including weekly assignments, textbook problems, team assignments, audit papers and the final exam. Over the 5 week course, students will cover topics such as auditing cash, financial instruments, sales, receivables, inventory, payrolls, acquisitions, payments, property, plant and equipment. They will learn about internal controls, sampling methods, audit evidence and preparing final audit reports. The final exam covers questions related to these audit areas, cycles and objectives.
Acc 492 new Social Responsibility / tutorialrank.comPrescottLunt432
For more course tutorials visit
www.tutorialrank.com
ACC 492 Final Exam (All Possible Questions) (2019 Syllabus)
ACC 492 Week 1 Current Issue Summary
ACC 492 Week 1 Current Issue Summary Behind the Numbers Insights into Large Audit Firm Sampling Policies
(2019 Syllabus)
This document outlines audit procedures and assignments for ACC 492, including:
- Weekly textbook problems, current issue summaries, team assignments covering auditing of cash, financial instruments, sales, receivables, inventory, payroll, acquisitions, payments, property, and contingencies.
- A final exam with multiple choice questions testing understanding of audit sampling, internal controls, audit evidence, and business cycles.
The course focuses on auditing various accounts and cycles through application of audit procedures and analysis of current issues.
This document outlines the course structure and assignments for ACC 492. It includes weekly summaries, discussion questions, and team assignments related to auditing topics such as sampling, cash, accounts receivable, and expense accounts. The team assignments involve analyzing the 10-K annual report of a public company (Amazon in this case) to develop audit programs for cash, financial instruments, sales, and receivables accounts. The course emphasizes applying auditing concepts from research articles to real-world auditing jobs.
This document appears to be a syllabus for an ACC 492 course that covers auditing. It includes assignments for each week related to auditing topics like cash, receivables, inventory, and fixed assets. It provides current issue summaries, textbook problems, and team assignments analyzing accounts and cycles for companies like Walmart and Amazon. It also includes a final exam with multiple choice questions testing knowledge of auditing concepts and procedures.
For more course tutorials visit
www.newtonhelp.com
1.Developing an understanding of the client's business and industry is essential to proficiency as discussed in the general standards of GAAS. (Points: 4)
This document outlines audit procedures and assignments for ACC 492, including:
- Weekly textbook problems, current issue summaries, team assignments covering auditing of cash, financial instruments, sales, receivables, inventory, payroll, acquisitions, payments, property, and contingencies.
- A final exam covering topics like audit sampling, internal controls, audit evidence, and business cycles.
The assignments and exam are designed to help students learn how to audit key accounts and cycles and apply audit standards and procedures.
Acc 403 Enthusiastic Study / snaptutorial.comGeorgeDixon36
1. If an auditor believes the chance of financial failure is high and there is a corresponding increase in business risk for the auditor, acceptable audit risk would likely:
1. If an auditor believes the chance of financial failure is high and there is a corresponding increase in business risk for the auditor, acceptable audit risk would likely:
2. The preliminary judgment about materiality and the amount of audit evidence accumulated are ________ related.
The document discusses completing the audit process. It includes concept check questions about identifying contingent liabilities, reviewing legal expenses, and identifying subsequent events. It also discusses management and auditor responsibilities regarding the going concern assumption. Key audit procedures mentioned include examining legal expenses, reviewing subsequent internal statements and board minutes, and assessing whether sufficient evidence was collected based on identified risks. The purpose of the engagement quality review and items that must be communicated to the audit committee are also summarized.
Chapter 4 Audit of acquisition and payment cycle.pptxAbdiMuceeTube
This document outlines the learning objectives and content covered in Chapter 4 of an audit textbook. It discusses the acquisition and payment cycle, including identifying the key accounts and transactions. It describes the business functions and related documents. It also covers designing tests of controls, substantive tests of transactions, analytical procedures and tests of details for accounts payable. The objectives aim to help students understand the acquisition and payment cycle, how to audit it, and determine the reliability of different types of audit evidence related to this cycle.
This document discusses the audit objectives, procedures, and considerations for auditing purchases, payables, and payroll. It outlines 9 learning objectives covering identifying audit objectives, control procedures, assessing risks, designing substantive audit procedures, and using suppliers' statements. Key issues are liabilities and expenses not being understated and payables being fully recorded. The document then provides details on understanding purchase and payroll transactions, developing the audit plan, assessing control risk, and performing substantive procedures.
This document provides solutions to 31 problems related to an ACC 490 Final Exam. It addresses topics like generally accepted auditing standards, due care standards, audit risk, materiality, internal controls, sampling, and the Sarbanes-Oxley Act. The problems cover a range of audit procedures, risks, responsibilities, and regulations.
FINAL EXAM (46 QUESTIONS)
1
For audit evidence to be compelling to the auditor it must be sufficient and appropriate. Which statement below is not correct regarding the appropriateness of audit evidence?
·
The more effective the internal control system, the more assurance it provides the auditor about the reliability of financial reporting by the client.
·
An auditor's opinion, to be economically useful and profitable to the auditing firm needs to be formed within a reasonable time and based on evidence obtained that assures profits for the auditing firm.
·
The independent auditor's direct personal knowledge, obtained through inquiry, observation and inspection, is generally more persuasive than information obtained indirectly.
·
Evidence obtained from independent sources outside the entity is generally more reliable than evidence secured solely within the entity.
2
The final step in the evaluation of the audit results is the decision to:
·
project the point estimate.
·
determine sampling error and calculate the estimated total population error.
·
determine the error in each sample.
·
accept the population as fairly stated or to require further action.
3
The word below that best explains the relationship between required sample size and the acceptable risk of incorrect acceptance is:
·
inverse.
·
proportional.
·
direct.
·
indeterminate.
4
The introductory paragraph of the standard audit report for a non-public company performs which functions?
I. It states the CPA has performed an audit.
II. It lists the financial statements being audited.
III. It states the financial statements are the responsibility of the auditor.
·
I and III
·
I, II and III
·
I and II
·
II and III
5
Master files, spreadsheets, and reports that accumulate material, labor, and overhead as the costs are incurred are:
·
finished goods inventory records.
·
accounting systems.
·
storeroom documents.
·
cost accounting records.
6
Which of the following balance-related audit objectives typically is assessed as having high inherent risk for cash?
·
Presentation and disclosure
·
Cutoff
·
Existence
·
Detail tie-in
7
In addition to confirming bank balances of your audit client, a bank confirmation would normally contain:
·
the client's credit history as regards to paying back loans.
·
the client's managements bank account information.
·
the client's bank loans with due date, interest rate, and collateral requested.
·
the client's business prospects.
8
A commitment is best described as:
·
an agreement to commit the firm to a set of fixed conditions in the future that depends on current market conditions.
·
an agreement to commit the firm to a set of fixed conditions in the future.
·
an agreement to commit the firm to a set of fixed conditions in the future that depends on company profitability.
·
a potential future obligation to an outside party for an as yet to b ...
Question 1 The first general standard of the PCAOB requires th.docxIRESH3
Question 1
The first general standard of the PCAOB requires that an audit be performed by which type of person?
Answer
An auditor with seasoned judgment in varying degrees of supervision and review.
An auditor with appropriate technical training and proficiency.
An auditor with adequate knowledge of the standards of field work and reporting.
An auditor satisfying the independence standards
Question 2
Which assertion addresses whether all transactions and accounts that should be included in the financial statements are included?
Answer
Existence.
Valuation.
Completeness.
Rights and Obligations
Question 3
Which one of the following attributes is not required of an auditor?
Answer
Independence.
Bias.
Integrity.
Technical competence
Question 4
Which one of the following is a reporting standard requirement?
Answer
The auditor will state explicitly whether the financial statements are fairly presented in accordance with the applicable financial reporting framework.
The auditor will identify in the auditor’s report, those circumstances in which auditing principles have not been consistently observed in the current period in comparison to the preceding period.
The auditor will review adjusting journal entries for accuracy, and if the auditor concludes those entries are not reasonable accurate, the auditor must so state in the auditor’s report.
The auditor will express an unqualified opinion on the financial statements, or will conduct additional audit procedures until such an opinion can be expressed
Question 5
When obtaining an understanding of internal controls, what is the independent external auditor primary concerned with?
Answer
Detecting all errors.
Determining the effectiveness of operations.
Determining whether the internal controls can be relied upon.
Determining whether the controls promote efficiency
Question 6
Which of the following is an inherent limitation of internal controls?
Answer
Lack of auditor independence.
Collusion.
Separation of duties.
Employee peer review.
Question 7
Which of the following is clearly a test of controls?
Answer
Walk-through of the expense cycle from performance of the service to the reporting in the balance sheet.
Examination of a sample of purchase order records for electronic, authenticated, authorization.
Observing the controller's use of company owned equipment.
Sending a letter to the client's attorney to determine litigation that is pending between plaintiff and the defendant
Question 8
Which of the following is an example of a detective control in an information system?
Answer
Automated reports to management that specifically identify delinquent receivable.
A requirement that salaried employees submit written requests to work overtime.
Assurance from top management that computer centers are kept locked.
The employment of trustworthy people to enter data into the information system
Question 9
Which of foll ...
This presentation includes basic of PCOS their pathology and treatment and also Ayurveda correlation of PCOS and Ayurvedic line of treatment mentioned in classics.
বাংলাদেশের অর্থনৈতিক সমীক্ষা ২০২৪ [Bangladesh Economic Review 2024 Bangla.pdf] কম্পিউটার , ট্যাব ও স্মার্ট ফোন ভার্সন সহ সম্পূর্ণ বাংলা ই-বুক বা pdf বই " সুচিপত্র ...বুকমার্ক মেনু 🔖 ও হাইপার লিংক মেনু 📝👆 যুক্ত ..
আমাদের সবার জন্য খুব খুব গুরুত্বপূর্ণ একটি বই ..বিসিএস, ব্যাংক, ইউনিভার্সিটি ভর্তি ও যে কোন প্রতিযোগিতা মূলক পরীক্ষার জন্য এর খুব ইম্পরট্যান্ট একটি বিষয় ...তাছাড়া বাংলাদেশের সাম্প্রতিক যে কোন ডাটা বা তথ্য এই বইতে পাবেন ...
তাই একজন নাগরিক হিসাবে এই তথ্য গুলো আপনার জানা প্রয়োজন ...।
বিসিএস ও ব্যাংক এর লিখিত পরীক্ষা ...+এছাড়া মাধ্যমিক ও উচ্চমাধ্যমিকের স্টুডেন্টদের জন্য অনেক কাজে আসবে ...
How to Fix the Import Error in the Odoo 17Celine George
An import error occurs when a program fails to import a module or library, disrupting its execution. In languages like Python, this issue arises when the specified module cannot be found or accessed, hindering the program's functionality. Resolving import errors is crucial for maintaining smooth software operation and uninterrupted development processes.
For more classes visit
www.snaptutorial.com
1.Developing an understanding of the client's business and industry is essential to proficiency as discussed in the general standards of GAAS. (Points: 4)
True
False
2. Ratio analysis only involves a year-to-year comparison of account balances. (Points: 4)
True
For more classes visit
www.snaptutorial.com
1.Developing an understanding of the client's business and industry is essential to proficiency as discussed in the general standards of GAAS. (Points: 4)
True
False
This document discusses designing substantive audit procedures. It covers determining detection risk based on inherent and control risk, and how the nature, timing, and extent of substantive procedures varies with detection risk. The document describes analytical procedures, tests of details of transactions, and tests of details of balances as types of substantive procedures. It also discusses developing audit programs, computer-assisted techniques, and special considerations like estimates and related parties.
ACC 492 NEW Effective Communication/tutorialrank.comjonhson247
This document outlines the course content for ACC 492, including weekly assignments, textbook problems, team assignments, audit papers and the final exam. Over the 5 week course, students will cover topics such as auditing cash, financial instruments, sales, receivables, inventory, payrolls, acquisitions, payments, property, plant and equipment. They will learn about internal controls, sampling methods, audit evidence and preparing final audit reports. The final exam covers questions related to these audit areas, cycles and objectives.
Acc 492 new Social Responsibility / tutorialrank.comPrescottLunt432
For more course tutorials visit
www.tutorialrank.com
ACC 492 Final Exam (All Possible Questions) (2019 Syllabus)
ACC 492 Week 1 Current Issue Summary
ACC 492 Week 1 Current Issue Summary Behind the Numbers Insights into Large Audit Firm Sampling Policies
(2019 Syllabus)
This document outlines audit procedures and assignments for ACC 492, including:
- Weekly textbook problems, current issue summaries, team assignments covering auditing of cash, financial instruments, sales, receivables, inventory, payroll, acquisitions, payments, property, and contingencies.
- A final exam with multiple choice questions testing understanding of audit sampling, internal controls, audit evidence, and business cycles.
The course focuses on auditing various accounts and cycles through application of audit procedures and analysis of current issues.
This document outlines the course structure and assignments for ACC 492. It includes weekly summaries, discussion questions, and team assignments related to auditing topics such as sampling, cash, accounts receivable, and expense accounts. The team assignments involve analyzing the 10-K annual report of a public company (Amazon in this case) to develop audit programs for cash, financial instruments, sales, and receivables accounts. The course emphasizes applying auditing concepts from research articles to real-world auditing jobs.
This document appears to be a syllabus for an ACC 492 course that covers auditing. It includes assignments for each week related to auditing topics like cash, receivables, inventory, and fixed assets. It provides current issue summaries, textbook problems, and team assignments analyzing accounts and cycles for companies like Walmart and Amazon. It also includes a final exam with multiple choice questions testing knowledge of auditing concepts and procedures.
For more course tutorials visit
www.newtonhelp.com
1.Developing an understanding of the client's business and industry is essential to proficiency as discussed in the general standards of GAAS. (Points: 4)
This document outlines audit procedures and assignments for ACC 492, including:
- Weekly textbook problems, current issue summaries, team assignments covering auditing of cash, financial instruments, sales, receivables, inventory, payroll, acquisitions, payments, property, and contingencies.
- A final exam covering topics like audit sampling, internal controls, audit evidence, and business cycles.
The assignments and exam are designed to help students learn how to audit key accounts and cycles and apply audit standards and procedures.
Acc 403 Enthusiastic Study / snaptutorial.comGeorgeDixon36
1. If an auditor believes the chance of financial failure is high and there is a corresponding increase in business risk for the auditor, acceptable audit risk would likely:
1. If an auditor believes the chance of financial failure is high and there is a corresponding increase in business risk for the auditor, acceptable audit risk would likely:
2. The preliminary judgment about materiality and the amount of audit evidence accumulated are ________ related.
The document discusses completing the audit process. It includes concept check questions about identifying contingent liabilities, reviewing legal expenses, and identifying subsequent events. It also discusses management and auditor responsibilities regarding the going concern assumption. Key audit procedures mentioned include examining legal expenses, reviewing subsequent internal statements and board minutes, and assessing whether sufficient evidence was collected based on identified risks. The purpose of the engagement quality review and items that must be communicated to the audit committee are also summarized.
Chapter 4 Audit of acquisition and payment cycle.pptxAbdiMuceeTube
This document outlines the learning objectives and content covered in Chapter 4 of an audit textbook. It discusses the acquisition and payment cycle, including identifying the key accounts and transactions. It describes the business functions and related documents. It also covers designing tests of controls, substantive tests of transactions, analytical procedures and tests of details for accounts payable. The objectives aim to help students understand the acquisition and payment cycle, how to audit it, and determine the reliability of different types of audit evidence related to this cycle.
This document discusses the audit objectives, procedures, and considerations for auditing purchases, payables, and payroll. It outlines 9 learning objectives covering identifying audit objectives, control procedures, assessing risks, designing substantive audit procedures, and using suppliers' statements. Key issues are liabilities and expenses not being understated and payables being fully recorded. The document then provides details on understanding purchase and payroll transactions, developing the audit plan, assessing control risk, and performing substantive procedures.
This document provides solutions to 31 problems related to an ACC 490 Final Exam. It addresses topics like generally accepted auditing standards, due care standards, audit risk, materiality, internal controls, sampling, and the Sarbanes-Oxley Act. The problems cover a range of audit procedures, risks, responsibilities, and regulations.
FINAL EXAM (46 QUESTIONS)
1
For audit evidence to be compelling to the auditor it must be sufficient and appropriate. Which statement below is not correct regarding the appropriateness of audit evidence?
·
The more effective the internal control system, the more assurance it provides the auditor about the reliability of financial reporting by the client.
·
An auditor's opinion, to be economically useful and profitable to the auditing firm needs to be formed within a reasonable time and based on evidence obtained that assures profits for the auditing firm.
·
The independent auditor's direct personal knowledge, obtained through inquiry, observation and inspection, is generally more persuasive than information obtained indirectly.
·
Evidence obtained from independent sources outside the entity is generally more reliable than evidence secured solely within the entity.
2
The final step in the evaluation of the audit results is the decision to:
·
project the point estimate.
·
determine sampling error and calculate the estimated total population error.
·
determine the error in each sample.
·
accept the population as fairly stated or to require further action.
3
The word below that best explains the relationship between required sample size and the acceptable risk of incorrect acceptance is:
·
inverse.
·
proportional.
·
direct.
·
indeterminate.
4
The introductory paragraph of the standard audit report for a non-public company performs which functions?
I. It states the CPA has performed an audit.
II. It lists the financial statements being audited.
III. It states the financial statements are the responsibility of the auditor.
·
I and III
·
I, II and III
·
I and II
·
II and III
5
Master files, spreadsheets, and reports that accumulate material, labor, and overhead as the costs are incurred are:
·
finished goods inventory records.
·
accounting systems.
·
storeroom documents.
·
cost accounting records.
6
Which of the following balance-related audit objectives typically is assessed as having high inherent risk for cash?
·
Presentation and disclosure
·
Cutoff
·
Existence
·
Detail tie-in
7
In addition to confirming bank balances of your audit client, a bank confirmation would normally contain:
·
the client's credit history as regards to paying back loans.
·
the client's managements bank account information.
·
the client's bank loans with due date, interest rate, and collateral requested.
·
the client's business prospects.
8
A commitment is best described as:
·
an agreement to commit the firm to a set of fixed conditions in the future that depends on current market conditions.
·
an agreement to commit the firm to a set of fixed conditions in the future.
·
an agreement to commit the firm to a set of fixed conditions in the future that depends on company profitability.
·
a potential future obligation to an outside party for an as yet to b ...
Question 1 The first general standard of the PCAOB requires th.docxIRESH3
Question 1
The first general standard of the PCAOB requires that an audit be performed by which type of person?
Answer
An auditor with seasoned judgment in varying degrees of supervision and review.
An auditor with appropriate technical training and proficiency.
An auditor with adequate knowledge of the standards of field work and reporting.
An auditor satisfying the independence standards
Question 2
Which assertion addresses whether all transactions and accounts that should be included in the financial statements are included?
Answer
Existence.
Valuation.
Completeness.
Rights and Obligations
Question 3
Which one of the following attributes is not required of an auditor?
Answer
Independence.
Bias.
Integrity.
Technical competence
Question 4
Which one of the following is a reporting standard requirement?
Answer
The auditor will state explicitly whether the financial statements are fairly presented in accordance with the applicable financial reporting framework.
The auditor will identify in the auditor’s report, those circumstances in which auditing principles have not been consistently observed in the current period in comparison to the preceding period.
The auditor will review adjusting journal entries for accuracy, and if the auditor concludes those entries are not reasonable accurate, the auditor must so state in the auditor’s report.
The auditor will express an unqualified opinion on the financial statements, or will conduct additional audit procedures until such an opinion can be expressed
Question 5
When obtaining an understanding of internal controls, what is the independent external auditor primary concerned with?
Answer
Detecting all errors.
Determining the effectiveness of operations.
Determining whether the internal controls can be relied upon.
Determining whether the controls promote efficiency
Question 6
Which of the following is an inherent limitation of internal controls?
Answer
Lack of auditor independence.
Collusion.
Separation of duties.
Employee peer review.
Question 7
Which of the following is clearly a test of controls?
Answer
Walk-through of the expense cycle from performance of the service to the reporting in the balance sheet.
Examination of a sample of purchase order records for electronic, authenticated, authorization.
Observing the controller's use of company owned equipment.
Sending a letter to the client's attorney to determine litigation that is pending between plaintiff and the defendant
Question 8
Which of the following is an example of a detective control in an information system?
Answer
Automated reports to management that specifically identify delinquent receivable.
A requirement that salaried employees submit written requests to work overtime.
Assurance from top management that computer centers are kept locked.
The employment of trustworthy people to enter data into the information system
Question 9
Which of foll ...
This presentation includes basic of PCOS their pathology and treatment and also Ayurveda correlation of PCOS and Ayurvedic line of treatment mentioned in classics.
বাংলাদেশের অর্থনৈতিক সমীক্ষা ২০২৪ [Bangladesh Economic Review 2024 Bangla.pdf] কম্পিউটার , ট্যাব ও স্মার্ট ফোন ভার্সন সহ সম্পূর্ণ বাংলা ই-বুক বা pdf বই " সুচিপত্র ...বুকমার্ক মেনু 🔖 ও হাইপার লিংক মেনু 📝👆 যুক্ত ..
আমাদের সবার জন্য খুব খুব গুরুত্বপূর্ণ একটি বই ..বিসিএস, ব্যাংক, ইউনিভার্সিটি ভর্তি ও যে কোন প্রতিযোগিতা মূলক পরীক্ষার জন্য এর খুব ইম্পরট্যান্ট একটি বিষয় ...তাছাড়া বাংলাদেশের সাম্প্রতিক যে কোন ডাটা বা তথ্য এই বইতে পাবেন ...
তাই একজন নাগরিক হিসাবে এই তথ্য গুলো আপনার জানা প্রয়োজন ...।
বিসিএস ও ব্যাংক এর লিখিত পরীক্ষা ...+এছাড়া মাধ্যমিক ও উচ্চমাধ্যমিকের স্টুডেন্টদের জন্য অনেক কাজে আসবে ...
How to Fix the Import Error in the Odoo 17Celine George
An import error occurs when a program fails to import a module or library, disrupting its execution. In languages like Python, this issue arises when the specified module cannot be found or accessed, hindering the program's functionality. Resolving import errors is crucial for maintaining smooth software operation and uninterrupted development processes.
A review of the growth of the Israel Genealogy Research Association Database Collection for the last 12 months. Our collection is now passed the 3 million mark and still growing. See which archives have contributed the most. See the different types of records we have, and which years have had records added. You can also see what we have for the future.
This slide is special for master students (MIBS & MIFB) in UUM. Also useful for readers who are interested in the topic of contemporary Islamic banking.
This document provides an overview of wound healing, its functions, stages, mechanisms, factors affecting it, and complications.
A wound is a break in the integrity of the skin or tissues, which may be associated with disruption of the structure and function.
Healing is the body’s response to injury in an attempt to restore normal structure and functions.
Healing can occur in two ways: Regeneration and Repair
There are 4 phases of wound healing: hemostasis, inflammation, proliferation, and remodeling. This document also describes the mechanism of wound healing. Factors that affect healing include infection, uncontrolled diabetes, poor nutrition, age, anemia, the presence of foreign bodies, etc.
Complications of wound healing like infection, hyperpigmentation of scar, contractures, and keloid formation.
Reimagining Your Library Space: How to Increase the Vibes in Your Library No ...Diana Rendina
Librarians are leading the way in creating future-ready citizens – now we need to update our spaces to match. In this session, attendees will get inspiration for transforming their library spaces. You’ll learn how to survey students and patrons, create a focus group, and use design thinking to brainstorm ideas for your space. We’ll discuss budget friendly ways to change your space as well as how to find funding. No matter where you’re at, you’ll find ideas for reimagining your space in this session.
हिंदी वर्णमाला पीपीटी, hindi alphabet PPT presentation, hindi varnamala PPT, Hindi Varnamala pdf, हिंदी स्वर, हिंदी व्यंजन, sikhiye hindi varnmala, dr. mulla adam ali, hindi language and literature, hindi alphabet with drawing, hindi alphabet pdf, hindi varnamala for childrens, hindi language, hindi varnamala practice for kids, https://www.drmullaadamali.com
Main Java[All of the Base Concepts}.docxadhitya5119
This is part 1 of my Java Learning Journey. This Contains Custom methods, classes, constructors, packages, multithreading , try- catch block, finally block and more.
1. ACC 562 Final Exam Guide
To Purchase This Material Click below Link
http://www.acc562edu.com/product-36-ACC-562-Final-Exam-Guide
FOR MORE CLASSES VISIT
www.acc562edu.com
1.Developing an understanding of the client's business and industry is essential to
proficiency as discussed in the general standards of GAAS. (Points: 4)
True
False
2. Ratio analysis only involves a year-to-year comparison of account balances.
(Points: 4)
True
False
3. Control is considered to be part of corporate governance. (Points: 4)
True
False
4. When control risk is assessed at a maximum level, the auditor assumes that the
internal controls are reliable in preventing or detecting material misstatements.
(Points: 4)
2. True
False
5. Accounting subsystems are accounting cycles composed of one or more
accounting applications. (Points: 4)
True
False
6. Presentation and disclosure assertions imply that all transactions and balances
are properly presented, disclosures represent what actually happened, and the
footnote disclosures are appropriate and adequate. (Points: 4)
True
False
7. Vouching recorded transactions involves taking a sample from the journal and
tracing them back to the source documents to ensure they occurred. (Points: 4)
True
False
8. Audit documentation serves as support for the financial statements. (Points: 4)
True
False
9. In analysis of the results of audit sampling, an auditor may determine that the
sample size must be increased. (Points: 4)
True
3. False
10. The revenue cycle considered by auditors includes the sales process but not
collections. (Points: 4)
True
False
11. Inventory is complex and typically considered a high-risk area in audits of
service firms. (Points: 4)
True
False
12. An auditor can utilize a cross-sectional analysis for a client operating in
multiple locations to identify areas of further inventory testing. (Points: 4)
True
False
13. Legal expenses are reviewed by auditors for possible litigation and related FAS
5 treatment. (Points: 4)
True
False
14. An imprest payroll account will never reach a zero balance. (Points: 4)
True
False
4. 15. A turnaround document is an effective completeness control because they list
essential information for further processing of the collection on account. (Points: 4)
True
False
16. Auditors will perform an analysis of leases using SFAS 13 criteria and other
EITF statements to substantiate the accounting treatment. (Points: 4)
True
False
17. Contingencies are considered by the auditor in relation to the SFAS No. 5
criteria to determine whether material contingencies exist with the client and, if so,
that they are properly accrued or disclosed. (Points: 4)
True
False
18. An example of a Type II Subsequent Event includes the settlement two months
after year-end of a liability for an amount well in excess of the amount that was
accrued at year-end. (Points: 4)
True
False
19. A report on agreed-upon procedures issued by accountants provides the lowest
form of attestation assurance. (Points: 4)
True
5. False
20. The need for assurance services arises for all of the following reasons
EXCEPT: (Points: 4)
potential bias in providing information.
closeness between a user and the organization.
complexity of the processing systems.
remoteness between a user and the organization.
21. Which one of the following is not part of the attest process? (Points: 4)
evaluating evidence against objective criteria
gathering evidence about assertions
proving the accuracy of the books and records
communicating the conclusions reached
22. Users can reasonably expect audited financial statements to be (Points: 4)
complete and contain all important financial disclosures, be free from material
misstatements and be presented fairly.
complete and contain all-important financial disclosures, be free from material
misstatements and be presented fairly according to GAAP.
complete, be accurate and be presented fairly according to GAAP.
complete and contain all-important financial disclosures, be free from all
misstatements and be presented fairly according to the substance of GAAP.
23. Which one of the following is not a provider of assurance services? (Points: 4)
6. CPAs
internal auditors
governmental auditors
AICPA
24. The primary governing board that performs quality reviews on registered CPA
firms that audit public companies is the (Points: 4)
PCAOB
GAO
AICPA
FASB
25. Management of an organization has the responsibility for all of the following
except: (Points: 4)
accounting principles used in financial reporting
engagement of a qualified auditor
internal control over financial reporting
financial statements and disclosures
26. The financial statement auditor must understand the client's internal control as
a component of the fieldwork standards. The one of the reason for this
understanding is so that the auditor may (Points: 4)
provide individual comments on internal control non-compliance.
become comfortable that the client will pay its audit bills.
assess materiality.
assess the risk of possible misstatements in the financial statements.
7. 27. For an auditor to be independent, he or she must be independent in (Points: 4)
fact.
appearance.
fact and appearance.
either fact or appearance.
28. An auditor is concerned with materiality for which of the following reasons?
(Points: 4)
to assess internal control
to comply with the quality assurance standards of GAAS
to determine the effects of misstatements on the users of financial information
to cut down on audit procedures and testing
29. A proper system of corporate governance is one that demands (Points: 4)
decision making by auditors in place of management.
internal audit representation on the board of directors.
audit planning to obtain competent and sufficient audit evidence.
accountability back through the system to the shareholders.
30. In determining the types of activities, engagements and interactions an auditor
should have with a client, the CPA and the audit firm must (select the best answer)
(Points: 4)
follow the rules exactly as they are written.
8. assess all of their relationships with every client to ensure that independence is
intact.
focus on client satisfaction above all other considerations
realize that ethics are only guidelines and a matter of personal judgment.
31. The AICPA Principles of Professional Conduct include (Points: 4)
due professional care and supervision.
scope and nature of services and adequate training.
integrity and independence
public interest, integrity and objectivity.
32. A public client is required to report material changes in internal control (Points:
4)
monthly.
quarterly.
annually.
never.
33. Programs written to accomplish specific processing tasks, such as computing
payroll, are (Points: 4)
application programs.
operating system programs.
Java scripts.
9. access control programs.
34. The combination of which functions in an information technology environment
are not necessarily a control weakness? (Points: 4)
user and programming functions
database administrator and data input functions
programmers and authorization of changes
users and certain data access
35. Backup controls, used to prevent data and software loss would include
procedures to: (Points: 4)
load balance in the event of heavy traffic across the network.
constantly monitor the network for intrusion and attack.
provide an alternate form of electricity to the corporate facilities.
fail-over to a mirrored storage device in the event of interruption or loss.
36. Which one of the following is an example of an edit test for limits? (Points: 4)
Only numbers are allowed to be input into the social security number field and
dashes are pre-formatted.
Each sales order is given an identifier that is also tagged to the receipt of goods
record, the customer invoice record and the cash receipts record
The purchasing department may order materials up to $5,000 in total before a
second electronic authorization is required.
Supplies may not be purchased from any vendor not authorized and existing in
the vendor table.
10. 37. The control totals used to ensure the completeness of processing in a batch
processing environment include (Points: 4)
record count.
control totals.
hash totals.
all of the above.
38. The type of test used to check that no hourly employee is paid more than
$400.00 in one week is: (Points: 4)
an edit test.
a batch control test.
an output control test.
none of the above.
39. Tagging and tracing might best be used to test which of the following? (Points:
4)
The number of confirmations returned compared to the number of
confirmations sent out.
The corporate credit card is only being used for business transactions.
All customer orders shipped were also invoiced and that cash was received.
Quantities of product F411029 have been accurately counted in the warehouse.
11. 40. Which one of the following would be the least persuasive type of evidence?
(Points: 4)
Confirmations returned by bank directly to the auditor.
Letters of communication from the Securities Exchange Commission.
Physical examination of perpetual inventory.
General ledger in a newly developed information system.
41. The primary support of an audit is (are) (Points: 4)
the financial statements.
the audit working papers.
the audit report.
the confirmation documentation.
42. The primary assertion that is satisfied by physically observing the client's count
of inventory is (Points: 4)
existence.
rights.
valuation.
completeness.
43. The audit team asks the client to pull a sample vendor files and examines the
invoices supporting the purchases of inventory items during the year. What is the
most probable reason for the use of this evidence? (Points: 4)
Confirmation of vendors supplying inventory for existence.
Analytical procedures to determine completeness of inventory.
12. Testing for the valuation of inventory using the FIFO cost flow assumption.
Reading the terms of the arrangements with vendors for disclosure.
44. The extent of procedures is affected mostly by: (Points: 4)
the sheer volume of procedures to be applied by the auditor.
the time of year in which the client takes a physical inventory in the warehouse.
the auditor's judgment that misstatements are probable in certain balances.
the availability of the client's staff at or near the balance sheet date.
45. An audit program is created to specify: (Points: 4)
the type of audit opinion to be rendered based upon procedures performed.
the audit procedures that will be performed each year for the client.
how an auditor should think while performing audit procedures.
objectives and procedures to be followed during the audit process.
46. Which one of the following is primary reason for documenting audit work?
(Points: 4)
to prevent litigation by other parties that question the audit performance.
to provide a stand-alone medium that gives audit conclusions and supports the
opinion.
to supply a point of reference for all auditors performing the work
subsequently.
13. to supply a point of reference for all auditors performing the work
subsequently.
47. Which of the following would most likely be considered intentional
misapplication of accounting principles on financial statements? (Points: 4)
A capital lease is presented as periodic rent expense rather than interest and
depreciation.
A deferred tax asset is reduced to zero with a valuation allowance.
A stock option is expensed even though the fair value of the underlying stock on
the date of grant was the same as the option's exercise price.
Revenues for up-front fees are deferred rather than recognized immediately.
48. The audit of financial statements includes the initial approach of addressing
fraud. How must an auditor address fraud in the planning stage? (Points: 4)
The auditor must test for fraud in the planning stage by sampling accounts.
The auditor must consider the likelihood of fraud existing in the company in
the planning stage.
The auditor must realize that most people are honest and not automatically
assume that fraud exists when planning the audit.
The auditor must not be aggressive in its initial approach to fraud as trust may
be lost by the client.
49. Which of the following creates an opportunity for fraud to be committed in an
organization? (Points: 4)
Management demands financial success.
14. Poor internal control.
Commitments tied to debt covenants.
Management is aggressive in its application of accounting rules.
50. Sam Jones, controller of Mitnikco, spends three days researching the
accounting statements to find loopholes in the "rules" and to make a case for
recognizing revenue earlier, rather than in later years. In the end, Sam and the
other members of management determine that they will reduce the company's
deferred revenue accounts and begin accounting for all revenues as agreements are
signed. What are the motivations of Mitnikco management based solely on the
information above? (Points: 4)
Pressures
Opportunity
Rationalization
Skepticism
51. Sampling risk is the risk that (Points: 4)
the sample will not contain characteristics representative of the population such
that inferences made about that population will be incorrect.
the population will not contain characteristics representative of the sample such
that inferences made about that sample will be incorrect.
Neither A nor B is correct.
Both A and B are correct.
52. The sample size varies directly with (Points: 4)
15. the expected failure rate.
the tolerable error rate.
the allowable risk of assessing control risk too low.
the nonsampling risk
53. The steps used in sampling during substantive testing includes the
determination of each of the following except (Points: 4)
the audit objective.
the method of selecting a sample.
expected misstatement conditions
control failure risk.
54. The design of a PPS sample requires the auditor to determine all of the
following except (Points: 4)
detection risk.
inherent risk.
tolerable misstatement.
expected misstatement in the account balance.
55. Which of the following is the best example of the control objective in the
revenue cycle that all transactions are recorded accurately? (Points: 4)
Sales are recorded at the invoice price expected to be collected from customers.
Sales orders have sequential numbering.
16. Recorded sales transactions are evidenced by valid invoices and shipping
documents.
Credits to customer accounts are classified as liabilities.
56. In an audit of financial statements, the risk of the high rate of return of
products sold includes that of (Points: 4)
sales that are recorded improperly.
an estimate of accrued returns that reduces net income.
a reduction of net sales for an increase to the sales returns and allowance
account.
consignment goods that are returned and forwarded to third parties.
57. Confirmations that are sent to select customers asking them to review the
current balance due the client as shown on the client's statement and return the
letters directly to the auditor indicating whether they agree with the indicated
balance, are known as (Points: 4)
direct confirmations.
indirect confirmations.
positive confirmations.
negative confirmations.
58. Which of the following is an example of the type of analytics that an auditor
would use for inventory? (Points: 4)
Number of day's sales in receivables compared to industry averages.
17. Inventory turnover for the previous five years.
Number of obsolete units this period compared to last.
Salaries of marketing personnel as a percent of total inventory.
59. Which one of the following accounts would an auditor most likely test by
performing analytical procedures? (Points: 4)
Sales commissions expense.
Legal expenses.
Repairs and maintenance expense.
Travel expense.
60. Operational audits of cash management seek to identify areas in which cash
management may be improved to contribute to the overall profitability and
effectiveness of the organization. The internal auditor would use which of the
following procedures on an operational audit of cash? (Points: 4)
determine the compliance of treasury activities with company policy
review procedures for identifying and investing excess funds
review procedures for handling cash receipts
all of the above
61. Which represents the most significant risk associated with restructuring
liabilities on the financial statements? (Points: 4)
Future smoothing of income by releasing the reserves.
Related party transactions that are not recorded at arms-length.
Understatement of assets in the period of recording the liabilities.
18. Payroll liabilities that are not disclosed in the notes.
62. All of the following are significant issues for consideration when auditing for
the impairment of goodwill, except (Points: 4)
timing of the assessment by management.
amortization in years of the goodwill.
clear objective evidence supporting the assessment.
understanding the client's business and its risks.
63. Simco's shaving products division was acquired over ten years ago in a
purchase transaction by BlizzardCraft. The related goodwill was amortized until
2002 and $4.5 million remained on the books thereafter. In 2008, Simco's
production machinery was assessed for impairment as a long-lived asset because of
obsolescence issues. What relationship will the auditors most likely make between
the facts stated above? (Points: 4)
BlizzardCraft erroneously treated the acquisition of Simco as a purchase
transaction when it should have been a pooling of interests.
Simco should not have amortized goodwill previous to 2002.
Simco's goodwill should have been written off when purchased by BlizzardCraft
in a one-time transaction.
The goodwill related to Simco may have been impaired during 2008.
64. All of the following represent a related entity to an organization except (Points:
4)
the president's son.
19. an affiliate with common ownership.
customers.
primary owners.
65. All of the following represent equity issuance requiring prominent accounting,
presentation and disclosure treatment, except (Points: 4)
stock with beneficial conversion features.
Warrants issued to a consultant for services performed.
Preferred stock that is cumulative and par value is $0.50 per share.
Dividends have not been paid on common stock since inception.
66. The auditor will examine proceeds and trace them to recorded amounts of the
par value of common stock to determine that (Points: 4)
shares exist and have valid stock certificates.
proceeds have been properly distributed between common stock and additional
paid-in capital.
dividends have been issued in accordance with the stock indenture agreement
as approved by the board.
shareholders actually have the rights to shares issued by the company in
exchange for subscribed funds.
67. Which of the following is a tool that is best used by the audit team to determine
if the client has included all disclosures? (Points: 4)
Management representation letter.
GAAS.
20. Inquiry of the CFO.
Checklists.
68. The auditor is responsible for evaluating the likelihood of a client continuing as
a going concern for a reasonable period of time. A reasonable period of time is
(Points: 4)
one year from the audit report date.
one year from the last day of field work.
one year from the balance sheet date.
two years from the balance sheet date.
69. Rock School, Inc. has a matter of material litigation that is threatened, but that
has not gone to trial. The auditor's consideration of such a matter will most likely
include all of the following except (Points: 4)
sending a letter to the client's attorneys for more information
discussions of the matter with the client and the client's insurance adjuster.
confirmation with the harmed party regarding the amount that will be claimed.
assessment of proper accrual or disclosure by the client in accordance with
SFAS No. 5.
70. When the financial statements contain a material departure from GAAP that the
auditor believes is justified, justification (Points: 4)
should appear in a footnote.
should appear in a paragraph added before the scope paragraph.
should appear in the opening paragraph.
should appear in a paragraph added before the opinion paragraph.