Questions from Auditing and Assurance

Q: The following questions concern persuasiveness of evidence. Choose the best

The following questions concern persuasiveness of evidence. Choose the best response. a. Which of the following types of documentary evidence should the auditor consider to be the most reliable? (1) C...

Q: What is the rationale for the PCAOB’s requirement to include a discussion

What is the rationale for the PCAOB’s requirement to include a discussion of critical audit matters in the audit report? Provide two examples of areas that might be considered critical audit matters i...

Q: Describe management’s responsibility for the financial statements. Do you believe the

Describe management’s responsibility for the financial statements. Do you believe the CEO and CFO of a public company perceive an even greater responsibility as a result of the Sarbanes–Oxley Act requ...

Q: The following questions concern the use of analytical procedures during an audit

The following questions concern the use of analytical procedures during an audit. Select the best response. a. For all audits of financial statements made in accordance with auditing standards, the us...

Q: The following questions concern audit documentation. Choose the best response.

The following questions concern audit documentation. Choose the best response. a. Which of the following is not a primary purpose of audit documentation? (1) To coordinate the audit (2) To assist in p...

Q: The following questions deal with materiality. Choose the best response.

The following questions deal with materiality. Choose the best response. a. Which one of the following statements is correct concerning the concept of materiality? (1) Materiality is determined by ref...

Q: The following questions deal with management assertions. Choose the best response

The following questions deal with management assertions. Choose the best response. a. An auditor reviews aged accounts receivable to assess likelihood of collection to support management’s assertion a...

Q: The following questions concern unmodified opinion audit reports with an emphasis-

The following questions concern unmodified opinion audit reports with an emphasis-of-matter explanatory paragraph or nonstandard wording in report paragraphs. Choose the best response. a. An entity ch...

Q: The following questions concern auditor independence. Choose the best response.

The following questions concern auditor independence. Choose the best response. a. What is the meaning of the rule that requires the auditor be independent? (1) The auditor must adopt a critical attit...

Q: The following questions concern possible violations of the AICPA Code of Professional

The following questions concern possible violations of the AICPA Code of Professional Conduct. Choose the best response. a. In which one of the following situations would a CPA be in violation of the...