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Auditing & Assurance Services A Systematic Approach
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Auditing & Assurance Services a Systematic
Approach 12e Messier Chapter 1-21 Answers are
at the End of Each Chapter A+
A+ Page 1
, TEST BANK FOR
Auditing & Assurance Services A Systematic Approach
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, TEST BANK FOR
Auditing & Assurance Services A Systematic Approach
Chapter 1
1) Why do auditors often use a sampling approach to evidence gathering?
A) Auditors are experts and do not need to look at much to know whether the financialstatements
are correct or not.
B) Auditors must balance the cost of the audit with the need for precision and for some types of
evidence, computer data analytic approaches can‘t be used.
C) Auditors must limit their exposure to their auditee to maintain independence.
D) The auditor's relationship with the auditee is generally adversarial, so the auditor will not
have access to all of the financial information of the company.
Question Details
AACSB :
Communication AICPA
: FN Decision Making
Accessibility : Keyboard
Navigation Difficulty : 1 Easy
AICPA : BB
Industry Bloom's :
Understand
Learning Objective : 01-05 Understand why sampling is
important in an audit. Gradable : automatic
Accessibility : Screen Reader
Compatible Topic : The Audit
Process
2) Which of the following statements best describes a relationship between sample size and
other elements of auditing?
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, TEST BANK FOR
Auditing & Assurance Services A Systematic Approach
A) If materiality increases, so will the sample size.
B) If the desired level of assurance increases, sample sizes can be smaller.
C) If materiality decreases, sample size will need to increase.
D) There is no relationship between sample size and materiality or the desired level of
assurance.
Question Details
Accessibility : Keyboard
Navigation Bloom's : Apply
Difficulty : 2 Medium
AICPA : BB Critical
Thinking AACSB :
Analytical Thinking
AICPA : FN Risk
Analysis
Learning Objective : 01-05 Understand why sampling is
important in an audit. Gradable : automatic
Accessibility : Screen Reader
Compatible Topic : The Audit
Process
3) Which of the following statements about the study of auditing is NOT true?
A) The study of auditing can be valuable to future accountants and business decision makers
whether or not they plan to become auditors.
B) The study of auditing focuses on learning the analytical and logical skills necessary to
evaluate the relevance and reliability of information.
C) The study of auditing focuses on learning the rules, techniques, and computations required to
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