AUD Study Group – Q1 2018 - Page 4

I'm here! @SONA I would recommend asking the CPA exam prep course you are using if they can update you to the 2018 book.

All – I completely agree the AUD is the worst, but don't sike yourself out! However, everyone studies differently, so I don't have advice on the way any one person should study. In my experience, watching the videos while following along in the book is the best way to go. I wouldn't sit there and try to read the book. It isn't necessary, it takes a long time and you won't even remember everything read. I would watch the videos and follow along, but then just do TONS of MCQs and SIMs. (More MCQs than SIMs though, because no one can predict what SIMs you will get on the test & knowing the concepts helps with any SIM anyway). I hope that helps!! If you are using NINJA – the bullet pointed notes are helpful, Wiley the study guide and Roger/Becker is the best to just follow along the videos with the book.

@SONA, I believe that all it is saying is that owning shares in an attest clients diversified mutual is considered a direct financial interest. If it is any other type of mutual fund, it will be an indirect financial interest.

Doesn't this contradict with each other.

Q1 TWD’s Board of Directors is controlled by Mead, the majority stockholder, who also acts as the chief executive officer.

Increased audit risk:
Control of the board of
directors by a majority
stockholder who is also
the chief executive ocer
(management is
dominated by a single
individual) gives one
individual the
opportunity to
circumvent internal
controls, increasing audit
risk and the risk of
material misstatement.

Q.2 Involvement of principal shareholder in management

Decreased audit risk. In
general, when an owner
is involved in
management, it increases
oversight over employees
and decreases the risk of
fraud.

@sona what is the correct answer to the Crow vs. Brown question?

Seems like a lot of us are in the same boat here – I got a 73 in Q4 feeling very confident and doing very well on the Becker MCQ. For 1Q, I've decided to switch up my study method and purchase the Gleim test bank for my (yet another) retake. From now until my exam I plan to plow through MCQ and practice as many SIMS as possible. So far, Gleim questions seem a little more tricky which will hopefully push me over the 75.

I was never a big believer in changing up study materials, but after my recent 71 & 73, I am in need or some new questions and different viewpoints.

Best of luck to all those sitting!!

Am I not understanding english or what? (If the access is restricted then how would a person embezzle?)

Which of the following situations most likely could lead to an embezzlement scheme?

A. Vouchers and supporting documentation are examined and then canceled by the treasurer who personally mails the checks to vendors.

B. Access to blank checks and signature plates is restricted to the cash disbursements bookkeeper who personally reconciles the monthly bank statement. Correct

C. Each vendor invoice is matched with the related purchase order and receiving report by the vouchers payable bookkeeper who personally approves the voucher for payment.

D. The accounts receivable bookkeeper receives a list of payments prepared by the cashier and personally makes entries in the customers' accounts receivable subsidiary ledger.

Correct. That is what I am saying ” Access to blank checks and signature plates is restricted”. This answer is saying “restricted” then how come this answer is correct?