Exam 21: Internal, operational, and Compliance Auditing

Compliance auditing procedures are:

In the audit of a federal assistance program,a cost that appears to be in violation of a law or regulation is referred to as a:

Which of the following types of audits is designed to determine that an organization has complied with the specific requirements of major financial assistance programs?

In an audit in accordance with the Single Audit Act of 1984,the auditors must test compliance with the significant requirements of all major programs.

Internal auditing is considered to be part of an organization's:

Management is beginning to take corrective action on human resources department deficiencies reported during the last internal audit.According to the IIA's Standards,the internal auditor should:

An operational audit report which deals with the accounts receivable department of a wholesaler is most likely to address:

An after-school program provides free healthy snacks to low-income families with funds passed-through the state welfare department from the U.S.Department of Health and Human Services.In this situation,which organization is the primary recipient of the funds?

In an audit in accordance with Government Auditing Standards,the auditors are required to provide a report on:

The work of internal auditors is primarily for the benefit of shareholders and potential investors.

According to the IIA's Standards,an internal auditor's working papers should be reviewed by the:

Compliance audits are primarily concerned with whether an organization follows appropriate laws and regulations.

When performing an audit of a city in accordance with the Single Audit Act,an auditor should adhere to:

When no weaknesses in internal control are discovered during an operational audit,the appropriate report will be either standard unqualified or unqualified with explanatory language.

The scope of an internal audit is initially defined by the:

Under the Single Audit Act,the auditor must apply procedures to test for compliance and test the effectiveness of controls for:   Major Programs Non-Major Programs A. Yes Yes B. Yes No C. No Yes D. No No

The GAO standards of reporting for governmental financial audits incorporate the AICPA standards of reporting and prescribe supplemental standards to satisfy the unique needs of governmental audits.Which of the following is a supplemental reporting standard for audits in accordance with Government Auditing Standards?

When auditing an entity's financial statements in accordance with Government Auditing Standards (the "Yellow Book"),an auditor is required to report on: I.Recommendations for actions to improve operations. II)The scope of the auditor's tests of compliance with laws and regulations.

The Dodd-Frank Act requires auditors to report on broker-dealer compliance with internal control:

Governmental entities and other recipients of governmental financial assistance,depending upon the circumstances,may be subject to an audit in accordance with generally accepted auditing standards (GAAS audit),Government Auditing Standards (GAS audit)and the Federal Single Audit Act (Single Audit Act audit).Place an X by the proper reports issued by auditors for each of these audits on the following: