Audit 1 Test Questions with All Correct Answers
Which of the following statements is correct concerning an auditor's responsibilities regarding financial statements? - Answer-An auditor's responsibilities for audited financial statements are confined to the expression of the auditor's opinion.
...
Audit 1 Test Questions with All
Correct Answers
Which of the following statements is correct concerning an auditor's responsibilities
regarding financial statements? - Answer-An auditor's responsibilities for audited
financial statements are confined to the expression of the auditor's opinion.
An auditor of a nonissuer exercising professional skepticism with respect to the risks of
material misstatement due to fraud will most appropriately: - Answer-Consider the
reliability of information to be used as audit evidence.
In order to express an opinion, the auditor obtains a level of assurance about whether
the financial statements are free from material misstatement, whether due to error or
fraud. Which of the following is required of the auditor in obtaining this level of
assurance? - Answer-Plan the work and properly supervise any assistants
To obtain reasonable assurance, an auditor should: - Answer-Plan the work and
properly supervise any assistants
In certain audit engagements, the auditor may be required to comply with auditing
requirements in addition to GAAS. The auditor may conduct the audit in accordance
with: - Answer-Both GAAS and government auditing standards (GAGAS)
Which of the following is not an example of the application of professional skepticism? -
Answer-Inquiring of prior year engagement personnel regarding their assertion of
management's honesty and integrity.
Which of the following terms identifies a requirement for audit evidence? - Answer-
Appropriate
Which of the following correctly defines the term reasonable assurance? - Answer-A
high, but not absolute, level of assurance to allow an auditor to detect a material
misstatement.
Because of the risk of material misstatement, an audit of financial statements in
accordance with generally accepted auditing standards should be planned and
performed with an attitude of: - Answer-Professional skepticism
An auditor is unable to obtain evidence for a significant consolidated investee. The
auditor determined that of the possible effects of undetected misstatements could be
material and could impact multiple items on the balance sheet and income statement. -
Answer-Disclaimer of Opinion
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller Scholarsstudyguide. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $10.99. You're not tied to anything after your purchase.
