Exam 8: Audit Evidence and Assurance

The auditor is the legal owner of the working papers related to an auditee's financial statements.

What is the strongest form of audit evidence?

For good form,each audit evidence paper should be indexed using a standard system of letters and numbers.The main purpose of this practice is to allow ________.

Evidence that does not relate to one of the management assertions can still be relevant to the auditor.

A first audit requires more work than a repeat engagement.

Contrast the qualitative aspects of evidence in terms of reliability.

A first-time audit requires more work than a continuing client.Identify some of the issues involved in the first audit of a company that do not occur in an ongoing engagement.

The audit evidence gathering technique known as computation or recalculation refers to ________.

The audit technique of enquiry has advantages and disadvantages.Discuss some of them.

An auditor should re-perform calculations on a random basis to check for accuracy.Usually,if one component has been calculated properly,the auditor can rely that the other components have also been computed properly.

Working papers should be clear,concise,and complete.They communicate ________.

Loan application documents are considered authoritative evidence.

To provide efficient,reliable evidence,confirmations should be ________.

Substantive procedures give direct evidence about the financial amounts reported in the financial statements.

Oral evidence from enquiry is considered to be very important.

Define and discuss the evidence gathering technique of inspection.

In preparing for a repeat engagement,the first thing an audit team should do is ________.

Identify the two types of audit programs and indicate the purpose of each.

The overall audit strategy is documented in the ________.

An auditor selects audit procedures that will provide ________.