Exam 21: Other Professional Accounting Services and Reports, Including Fraud

Auditors should mark the evidence, identifying the location, condition, date, time, and circumstances as soon as it appears to be a signal of fraud.

Free

(True/False)

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Question 1

Correct Answer:

Verified

True

An operational audit would NOT include determining ________.

Free

(Multiple Choice)

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Question 2

Correct Answer:

Verified

Explain briefly the purpose of a value-for-money (VFM) audit.

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(Essay)

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Question 3

Correct Answer:

Verified

VFM auditing is a form of auditing that focuses on the economical, efficient, and effective use of resources within an organization. A VFM audit is normally conducted in the public sector. The audit is designed to examine and report on:
i. the adequacy of management systems, controls, and practices.
ii. the extent to which resources have been managed economically and efficiently.
iii. the extent to which programs, operations, or activities of an entity have been effective

Briefly distinguish between a compliance audit and a value-for-money (VFM) audit.

(Essay)

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Question 4

Horizontal analysis can be used in fraud detection by ________.

(Multiple Choice)

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Question 5

In the audit of financial statements, which of the following procedures would the auditor call an "extended procedure?"

(Multiple Choice)

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Question 6

When independent CPAs in public practice take engagements to audit governmental units or entities that receive financial assistance from governmental units, they must follow ________.

(Multiple Choice)

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Question 7

Auditors of governmental units would be presumed to be lacking in independence if they were ________.

(Multiple Choice)

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Question 8

When financial auditors suspect financial reporting fraud, they should discuss their suspicions with the client to see there is an alternative explanation.

(True/False)

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Question 9

Effectiveness refers to outputs of resources maximized for the related inputs and inputs minimized for the related outputs.

(True/False)

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Question 10

Forensic accounting can be defined as ________.

(Multiple Choice)

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Question 11

Economy is related to ________.

(Multiple Choice)

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Question 12

The nature of extended procedures regarding fraud auditing is limited only by an auditor's imagination.

(True/False)

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Question 13

In engagements requiring the use of foreign standards, what are the expectations of Canadian auditors?

(Essay)

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Question 14

Canada was among the first of the industrialized countries to pass legislation against the proceeds of crime, money laundering and terrorist financing.

(True/False)

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Question 15

Unlike other auditors, fraud examiners think of materiality as a cumulative amount.

(True/False)

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Question 16

One of the key differences between a financial statement audit and a value for money (VFM) audit is ________.

(Multiple Choice)

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Question 17

If a prospectus is issued more than 90 days beyond the balance sheet date, the auditor will need to perform procedures on interim financial statement information prior to permitting the use of their audit opinion in the prospectus.

(True/False)

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Question 18

The environmental audit evaluates a company's operations and performance in terms of conformity with federal, provincial, and municipal laws and regulations.

(True/False)

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Question 19

In 20X2, Marg Levy, CPA, performed an environmental audit of Scoop Mining. As a result of that engagement, she prepared a report which included several recommendations to improve compliance with environmental protection laws. In 20X2, Ms. Levy has been approached to perform another audit of environmental protection procedures, some of which are based on her earlier recommendations. Which of the following statements is TRUE?

(Multiple Choice)

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Question 20

Showing 1 - 20 of 43

Auditors should mark the evidence, identifying the location, condition, date, time, and circumstances as soon as it appears to be a signal of fraud.

An operational audit would NOT include determining ________.

Explain briefly the purpose of a value-for-money (VFM) audit.

Briefly distinguish between a compliance audit and a value-for-money (VFM) audit.

Horizontal analysis can be used in fraud detection by ________.

In the audit of financial statements, which of the following procedures would the auditor call an "extended procedure?"

When independent CPAs in public practice take engagements to audit governmental units or entities that receive financial assistance from governmental units, they must follow ________.

Auditors of governmental units would be presumed to be lacking in independence if they were ________.

When financial auditors suspect financial reporting fraud, they should discuss their suspicions with the client to see there is an alternative explanation.

Effectiveness refers to outputs of resources maximized for the related inputs and inputs minimized for the related outputs.

Forensic accounting can be defined as ________.

Economy is related to ________.

The nature of extended procedures regarding fraud auditing is limited only by an auditor's imagination.

In engagements requiring the use of foreign standards, what are the expectations of Canadian auditors?

Canada was among the first of the industrialized countries to pass legislation against the proceeds of crime, money laundering and terrorist financing.

Unlike other auditors, fraud examiners think of materiality as a cumulative amount.

One of the key differences between a financial statement audit and a value for money (VFM) audit is ________.

If a prospectus is issued more than 90 days beyond the balance sheet date, the auditor will need to perform procedures on interim financial statement information prior to permitting the use of their audit opinion in the prospectus.

The environmental audit evaluates a company's operations and performance in terms of conformity with federal, provincial, and municipal laws and regulations.

Introduction to Auditing

Auditors Professional Roles and Responsibilities

Auditors Ethical and Legal Responsibilities

Reports on Audited Financial Statements

Preliminary Audit Planning: Understanding the Auditees Business

Assessing Risks in an Audit Engagement

Internal Control Over Financial Reporting

Audit Evidence and Assurance

Control Assessment and Testing

Audit Sampling

The Revenues, Receivables, and Receipts Process and Cash Account Balance

The Purchases, Payables, and Payments Process

Payroll and Production Processes

The Finance and Investment Process

Completing the Audit Work

Applying Professional Judgment to Form the Audit Opinion and Issue Theaudit Report

Other Public Accounting Services and Reportsreviews and Compilations

Professional Rules of Conduct Details and Auditor Responsibilities

Part I the Audit of Accounting Estimates: Basic Material Relating to Accountingestimates

Legal Liability Cases

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