[jeff]

Welcome to the Q4 2017 CPA Exam Study Group for AUD. 🙂

Introduce yourselves and let your fellow NINJAs know when you plan to take your AUD exam.

The Five Steps (NINJA Framework): https://www.another71.com/pass-the-cpa-exam/

[Teal]

What nonsense is this?!?!

Question 2 | Multiple Choice
To obtain assurance that the accounting records accurately reflect only transactions that actually occurred, supporting management’s occurrence assertion, the auditor would most likely examine a sample of general ledger postings and
YOUR ANSWER WAS INCORRECT:
Verify their proper reconciliation to the applicable sub-ledgers.
Trace them back to the supporting source documentation. (correct answer)
Vouch for the proper authorization and training of the personnel who prepared them. (my answer)
Use professional judgment to come to a reasoned conclusion as to their reasonableness and accuracy.
INCORRECT ANSWER EXPLANATION:
Incorrect. By choosing from a population consisting of general ledger postings, the auditor could potentially select any transaction that was recorded. By tracing a sample to source documentation, the auditor could verify that each transaction that was recorded is supported by a purchase order, receiving report, and invoice, indicating it likely did occur. Verifying proper reconciliation to applicable sub-ledgers will provide evidence supporting management’s assertion related to the completeness of postings to the sub-ledger. Verifying the proper authorization and training of employees who made the general ledger postings would relate more to internal control than to an assertion made by management but does provide evidence about the entity’s ability to provide accurate information. Using professional judgment to draw a conclusion as to reasonableness and accuracy of postings implies that the auditor has some basis for knowing what is reasonable indicating that this would be an analytical procedure comparing an auditor expectation to recorded data and would support the accuracy assertion.

FAR (66,68) Aug 26
REG (66) July 25
AUD (66) December 1st
BEC - October 3rd

[Teal]

My test is Thursday! So nervous!

FAR (66,68) Aug 26
REG (66) July 25
AUD (66) December 1st
BEC - October 3rd

Met a guy yesterday who bought all Becker – did everything the 1st time and failed. Then used all Wiley, did all the second time and passed! different methods – truly a journey!

[runegoblet3xx]

My test is this Friday. I haven't looked so forward to a weekend in a very long time.

Did a Becker mock exam yesterday. Got a 71. So I ended up procrastinating more so this weekend with reviewing. Honestly I just feel so burned out.

Probably going to do MCQs for a couple of hours this evening to feel better about myself.

[kelam81602]

Done over 600 MCQ and 50 TBS with Ninja this weekend. Burned out and so ready to just take the test tomorrow morning at 8am. Praying I don't have an anxiety attached. Last shot at it all. Passed everything but AUD. Lose REG end of this month and FAR in December. If I don't pass I'm done, If I pass I'm a CPA. A LOT riding on tomorrow morning.
As the song goes, Don't worry about a thing, cause every little things gonna be alright…….

Good luck future CPA's it's worth the journey.

[jmhohio]

@teal

that is a tricky question considering “vouching” tests for existence/occurrence… I would've picked the same answer at first. but after reading the explanation it gives, it makes sense now… I will be on the lookout for questions like that now!

Almost done unlocking Gleim's final review. 2 more SU's to go. Hopefully one tonight and another tomorrow then I start my Becker course for AUD 2 chapters per week and reviewing ninja notes once a day till exam day – this is a retake so the overall picture doesn't throw me off as much as it might have if it was my first time.

[SONA]

Thanks for the suggestion. I started becker A3 yesterday, this week target is finish A3 and A4 by sunday, then at least 4 days A1-A4 review.

When is your exam?

@SONA planning to test on October 30. Starting Becker on Wednesday – 2 Becker units per week. Then Becker final review.

[SONA]

Great, We are testing almost the same time.

[Broag]

In theory and in practice I was always told that the rep letter must be dated with the same date as the audit report. Correct answer here is “c” Doesn't even make sense to me. Can anyone explain to me as to why the answer is not “b”?

In an audit, a client representation letter is required. Which of the following is true in connection with that requirement?

a) The representation letter must be signed by the chair of the board of directors.

b) The representation letter must be dated with the same date as the audit report.

c) Even if a representation letter is not received, the independent auditor does not have to render a disclaimer of opinion.
d) A representation letter can replace a certain amount of substantive testing procedures.

REG - 79
FAR - ?
AUD - ?
BEC - ?

[56_Moves]

Broag, you are right, the answer is “b”. The auditor is required to obtain a management representation letter that should be dated as of the date of the auditor's report. This is paraphrased from Becker's Auditing Review Book.

[Broag]

@56

I got this question from cpareviewforfree.com. Figured I'd take a break from Ninja MCQ and give it a try for the sake of fresh questions. I'm starting to think that was a mistake…

REG - 79
FAR - ?
AUD - ?
BEC - ?

[Teal]

Does anyone have suggestions on test anxiety?? Mine has already started and my test is Thursday…I don't think that it could possibly help my score, haha

FAR (66,68) Aug 26
REG (66) July 25
AUD (66) December 1st
BEC - October 3rd

[SONA]

I know it is easy to say that keep calm. But we all have to while testing.

Be confident, we all have to show our confidence in front of the testing monitor.

All the best.

[Author]

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