Questions from General Auditing

Q: New rules have been introduced by the European Parliament, and it

New rules have been introduced by the European Parliament, and it is anticipated that these new rules will lead to considerable improvements in audit quality. Evaluate the extent to which new legislat...

Q: Discuss what you understand by the following terms: a.

Discuss what you understand by the following terms: a. foreseeability b. proximity c. assumption of responsibility

Q: Figure 8.1 showed that there are two broad levels of

Figure 8.1 showed that there are two broad levels of regulation and control relating to both external and internal environment. You are the auditor of an entity providing advice to clients on financia...

Q: Refer to questions 9.2 and 9.3 and explain

Refer to questions 9.2 and 9.3 and explain how a data flow diagram would help the auditor to understand how the entity’s order entry system is operating. Why would a data flow diagram be better than a...

Q: Crail Limited analytical review. The profit and loss account for the

Crail Limited analytical review. The profit and loss account for the year ended 31 December 2020 and balance sheet at 31 December 2020 of Crail Limited, a trading company, are set out below. Required...

Q: Consider the following items of income and expense and state: whether

Consider the following items of income and expense and state: whether they bear a relationship to each other or not; if they are related in any way, in what way they should move in relation to each ot...

Q: Blackford Ltd is a company engaged in two diverse activities, the

Blackford Ltd is a company engaged in two diverse activities, the manufacture of lawnmowers and trading in the hardware sector, selling its lawnmowers through its own hardware outlets. The company dec...

Q: Lundin plc operates a number of divisions, but the board of

Lundin plc operates a number of divisions, but the board of directors has been considering closing those that no longer fit into the future plans of the company. On 30 November 2020 (year-end is 31 De...

Q: Consider whether the following statements are true or false: a

Consider whether the following statements are true or false: a. The same standards of independence need not be applied in assurance engagements as in the statutory audit of financial statements. b. A...

Q: This question is based on an ACCA question in their Advanced Audit

This question is based on an ACCA question in their Advanced Audit and Assurance Paper P7, June 2012. Snipe Ltd has in place a defined benefit pension plan for its employees. An actuarial valuation on...