Exam 5: Audit Evidence

The auditor's decisions regarding evidence accumulation can be broken into various decisions.One decision relates to determining the nature of the audit procedure to be used to collect the evidence;i.e. ,"which audit procedures to use." Identify and discuss the remaining audit evidence decisions that the auditor makes.

(Essay)

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Question 21

"The detailed instructions for the entire collection of evidence for an audit area" is the definition of a(n)

(Multiple Choice)

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Question 22

The audit working papers serve as a record of the evidence accumulated and the results of the audit tests.This helps to demonstrate that the audit was

(Multiple Choice)

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Question 23

Which of the following would you expect to find in a corporation's bylaws?

(Multiple Choice)

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Question 24

The new Canadian Auditing Standards require the auditor to complete the audit working papers within how many days of the audit report date?

(Multiple Choice)

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Question 25

Inquiry is a valuable technique during the planning phase of the audit because it

(Multiple Choice)

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Question 26

Ordinarily,the working papers can be provided to someone else only with the express permission of the client.This is the case even if the papers are

(Multiple Choice)

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Question 27

The PA is having a discussion with his client about the outcome of several lawsuits that are presently in progress.The client has requested that the comments during the discussion be removed from the audit file.The client would like the only documentation in the audit file to be the legal letter from the client and brief comments regarding the auditor's judgments with respect to the quality of disclosure in the financial statements.The client is concerned that

(Multiple Choice)

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Question 28

Which of the following forms of evidence would be least persuasive in forming the auditor's opinion?

(Multiple Choice)

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Question 29

How frequently does the auditor make a decision with respect to the sample size to be selected?

(Multiple Choice)

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Question 30

The two most important factors that determine the appropriate sample size in audits are

(Multiple Choice)

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Question 31

To provide reliable evidence,confirmations should be

(Multiple Choice)

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Question 32

When the current year's unaudited trial balance amounts are compared to the prior year's audited trial balance amounts,

(Multiple Choice)

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Question 33

In addition to including on each working paper the name of the client,the period covered,the date of preparation,and an index code,each working paper should clearly include

(Multiple Choice)

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Question 34

When a higher than normal ratio of long-term debt to net worth is coupled with a lower than average ratio of profits to total assets,the company

(Multiple Choice)

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Question 35

Gina is performing the audit of the payables section of Reno Inc.She wants to confirm the payables from an independent source.Which of the following actions would achieve this?

(Multiple Choice)

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Question 36

At the first day of work at a PA firm,staff are given their own laptop computer for use in working with clients and other data. Required:A)What is the typical structure of client working paper files? B)How is client data protected from unauthorized change?

(Essay)

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Question 37

Mary is entering a fictitious transaction in the sales data entry system to see if the system will reject the order for a client that is already exceeding its credit limit.Mary is using

(Multiple Choice)

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Question 38

A PA is planning the audit of Lowden's Company.Lowden verbally asserts to the PA that all the expenses for the year have been recorded in the accounts.Lowden's representation

(Multiple Choice)

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Question 39

If most companies in the industry use FIFO inventory valuation and straight-line depreciation,and the audit client uses weighted-average cost inventory valuation and double-declining balance,comparisons of client and industry data

(Multiple Choice)

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Question 40

Showing 21 - 40 of 91

"The detailed instructions for the entire collection of evidence for an audit area" is the definition of a(n)

The audit working papers serve as a record of the evidence accumulated and the results of the audit tests.This helps to demonstrate that the audit was

Which of the following would you expect to find in a corporation's bylaws?

The new Canadian Auditing Standards require the auditor to complete the audit working papers within how many days of the audit report date?

Inquiry is a valuable technique during the planning phase of the audit because it

Ordinarily,the working papers can be provided to someone else only with the express permission of the client.This is the case even if the papers are

Which of the following forms of evidence would be least persuasive in forming the auditor's opinion?

How frequently does the auditor make a decision with respect to the sample size to be selected?

The two most important factors that determine the appropriate sample size in audits are

To provide reliable evidence,confirmations should be

When the current year's unaudited trial balance amounts are compared to the prior year's audited trial balance amounts,

In addition to including on each working paper the name of the client,the period covered,the date of preparation,and an index code,each working paper should clearly include

When a higher than normal ratio of long-term debt to net worth is coupled with a lower than average ratio of profits to total assets,the company

Gina is performing the audit of the payables section of Reno Inc.She wants to confirm the payables from an independent source.Which of the following actions would achieve this?

At the first day of work at a PA firm,staff are given their own laptop computer for use in working with clients and other data. Required:A)What is the typical structure of client working paper files? B)How is client data protected from unauthorized change?

Mary is entering a fictitious transaction in the sales data entry system to see if the system will reject the order for a client that is already exceeding its credit limit.Mary is using

A PA is planning the audit of Lowden's Company.Lowden verbally asserts to the PA that all the expenses for the year have been recorded in the accounts.Lowden's representation

If most companies in the industry use FIFO inventory valuation and straight-line depreciation,and the audit client uses weighted-average cost inventory valuation and double-declining balance,comparisons of client and industry data

The Demand for Audit and Other Assurance Services

The Public Accounting Profession and Audit Quality

Professional Ethics and Legal Liability

Audit Responsibilities and Objectives

Client Acceptance,Planning,and Materiality

Assessing the Risk of Material Misstatement

Internal Control and COSO Framework

Assessing Control Risk and Designing Test of Controls

Develop Risk Response: Audit Strategy and Audit Program

Audit Sampling Concepts

Audit of the Revenue Cycle

Audit of the Acquisition and Payment Cycle

Audit of the Inventory and Distribution Cycle

Audit of the Human Resources and Payroll Cycle

Audit of the Capital Acquisition and Repayment Cycle

Audit of Cash Balances

Completing the Audit

Audit Reports on Financial Statements

Other Assurance and Nonassurance Services

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