[jeff]

Free Study Planner, Notes, Audio, Flashcards: https://www.another71.com/cpa-exam-study-plan/

Free CPA Exam Survival Guide: https://www.another71.com/cpa-exam-survival-guide/

Jeff Elliott, CPA (KS) | Another71 | NINJA CPA | NINJA CMA | NINJA CPE

[iddyrashy]

@NYCaccountant you meant C? AR 80.17 state “The manual or printed signature of the accounting firm or the accountant, as appropriate”.

No need of letterhead, but signature is required.

AUD 89 (07/06/14)
REG 83 (08/27/2015)
FAR 78 (04/27/2015)
BEC 75 (11/13/2015)

TEXAS 2016

[NYCaccountant]

Yes, lol thanks!

FAR - 93
REG - 87
BEC - 84!!!!
AUD - 99!!!!!! CPA exam complete.

[Anonymous]

NYCaccountant,

I have a question to you about your understanding of the stages on audit. Is it control testing comes before substantive testing? B/c I thought that we assess the risk based on control tests. Depending on control tests we identify is the internal control strong/weak, then we assess the risk and do substantive tests based on the assessed risk. Can someone please clarify it?

Thank you!

[NYCaccountant]

I believe You assess control risk base on your understanding of the internal control structure. If control risk is low, then I believe the controls are operating effectively, so I'll test controls and perform a limited amount of substantive procedures. If I assess control risk to be high, I will not bother testing controls, and I'll just skip to substantive procedures. Low control risk means less substantive testing, (assuming the assessed level is corrrect). Because I believe the controls to operate effectively, I believe they will catch errors, so less substantive testing by me needs to be done, which means my detection risk can be high because the company's control risk is low, so I maintain the same Audit risk.

FAR - 93
REG - 87
BEC - 84!!!!
AUD - 99!!!!!! CPA exam complete.

[Anonymous]

@NYC..

Got it, thank you!

[iddyrashy]

Just to add it, the auditor is not obligated to test control, under GAAS the auditor is supposed to understand the entity environment include internal control, so s/he can plan for nature, extent and timing of substantive test. So understanding of internal control help the auditor to do Risk Assessment.

AUD 89 (07/06/14)
REG 83 (08/27/2015)
FAR 78 (04/27/2015)
BEC 75 (11/13/2015)

TEXAS 2016

[NYCaccountant]

@iddyrashy is right. You are not obligated to test controls, but once you assess the risk of material misstatement, you then design audit procedures, which may include test or controls or may not. It depends on your assessment of risk. They say understanding the entity, it's environment and internal control, but I look at this as risk assessment procedures. Like looking where the damage most likely is, ,and then designing the tool to work in that area of the house.

FAR - 93
REG - 87
BEC - 84!!!!
AUD - 99!!!!!! CPA exam complete.

[NYCaccountant]

What are you guys plans for studying next week? With the holiday weekend coming up.

FAR - 93
REG - 87
BEC - 84!!!!
AUD - 99!!!!!! CPA exam complete.

[iddyrashy]

There is no next week for me (lol). I am planning to take a simulated exam this weekend. Honest am toast from doing 1000+ questions this week. Next week I will review weak areas and take easy. Things that I know am weak, calculations of variable sampling (MPU, PPS). I need to brush on OCBOA, letter to underwriter and attestation report. Other than that I have no life for few days.

AUD 89 (07/06/14)
REG 83 (08/27/2015)
FAR 78 (04/27/2015)
BEC 75 (11/13/2015)

TEXAS 2016

[funtiks]

is it me or Becker does not explain transaction cycles properly?

I must have reread that chapter 8 times…….

I still dont get most of the questions WTFFF

FAR - 76*, 73, 85
BEC - 69, 72, 78*, 80
AUD - 72, 71, 90
REG - 71, 74, 85

AFTER 3 YEARS I'M DONE!!!

[funtiks]

is it me or Becker does not explain transaction cycles properly?

I must have reread that chapter 8 times…….

I still dont get most of the questions WTFFF

FAR - 76*, 73, 85
BEC - 69, 72, 78*, 80
AUD - 72, 71, 90
REG - 71, 74, 85

AFTER 3 YEARS I'M DONE!!!

[Anonymous]

There is no Holiday for me, just more time to study.

[Anonymous]

I'm 6 days away…MCQ's this weekend…overall review next week. Luckily I got the whole week off from work to study.

[NYCaccountant]

I'm trying to put in 6 hours of study today. Let's see if I can make it.

FAR - 93
REG - 87
BEC - 84!!!!
AUD - 99!!!!!! CPA exam complete.

[Anonymous]

You can do it NYC! I'm trying to put in at least 12. Yeah, we'll see about that one…

[Author]

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