Question Details

ACC 403 FINAL PART 1
Question 1 
	
 	If an auditor establishes a relatively high level for materiality, then the auditor will: 			

			
 Question 2 
	
 	To what extent do auditors typically rely on internal controls of their public company clients? 			

			
 Question 3 
	
 	Auditing standards ________ that the basis used to determine the preliminary judgment about materiality be documented in the audit files. 			

			
 Question 4 
	
 	The measurement of the auditor's assessment of the likelihood that there are material misstatements due to error or fraud in a segment before considering the effectiveness of internal controls is defined as: 			
	
			
 Question 5 
	
 	As the risk of material misstatement increases, detection risk should: 			
	
			
 Question 6 
	
 	Reasonable assurance allows for: 			
	
			
 Question 7 
	
 	Audit evidence regarding the separation of duties is normally best obtained by: 			
	
			

 Question 8 
	
 	When one material weakness is present at the end of the year, management of a public company must conclude that internal control over financial reporting is: 			
	
			
 Question 9 
	
 	The auditors primary purpose in auditing the client's system of internal control over financial reporting is: 			
	.
			
 Question 10 
	
 	A five-step approach can be used to identify deficiencies, significant deficiencies, and material weaknesses. The first step in this approach is: 			
	
			
 Question 11 
	
 	When assessing the risk for fraud, the auditor must be cognizant of the fact that: 			
	
			
 Question 12 
	
 	Which of the following is a factor that relates to incentives to misappropriate assets? 			
	
			
 Question 13 
	
 	Companies may intentionally understate earnings when income is high to create ________ that may be used in future years to increase earnings. 			
	
			

 Question 14 
	
 	Research indicates that the most effective way to prevent and deter fraud is to: 			

			
 Question 15 
	
 	Which of the following is a factor that relates to incentives or pressures to commit fraudulent financial reporting? 			

			
 Question 16 
	
 	Auditors should evaluate which of the following before evaluating application controls because of the potential for pervasive effects? 			

			
 Question 17 
	
 	Auditors: 			

			
 Question 18 
	
 	The auditor's objective in determining whether the client's automated controls can correctly handle valid and invalid transactions as they arise is accomplished through the: 			
	
			
 Question 19 
	
 	An internal control deficiency occurs when computer personnel: 			

			
 Question 20 
	
 	Which of the following is a component of general controls? 			
	
			
 Question 21 
	
 	The auditor would design which of the following audit tests to detect possible monetary errors in the financial statements? 			
	
			
 Question 22 
	
 	Many auditors perform extensive analytical procedures on audits because: 			

			
 Question 23 
	
 	Analytical procedures: 			
	
 Question 24 
	
 	Transaction related audit objectives would most likely be performed in which phase of the audit process?

			
 Question 25 
	The document that details the specific audit procedures for each type of test is the:

			
Accounting Assignment Help, Accounting Homework help, Accounting Study Help,  Accounting Course Help