[jeff]

Welcome to the Q1 2017 CPA Exam Study Group for AUD. 🙂

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

[Forem004]

When do you take the exam HR?

[Holly]

I take the test Monday. I'm sure nervous!

BEC - 79
REG - 85
AUD - 5/27/16

[Forem004]

Good luck!

[Forem004]

I disagreed with so many people in the 2016 forum that questions were not repeated in the ninja multiple choice, that there were just small differences. I think I was wrong though, because now that I'm doing more in a shorter amount of time, I know that I've answered one before when I've selected new questions. 🙁

[Forem004]

Every time a question incorrectly, I read the explanation, and say oh yeah!….I can't afford to do that at this point!

480: Before applying substantive tests to the details of asset accounts at an interim date, an auditor should assess:

A.
control risk below the maximum level.

B.
inherent risk at the maximum level.

C.
the difficulty in controlling the incremental audit risk.

D.
materiality for the accounts tested as insignificant.

[Forem004]

I remember getting this wrong numerous times last time I reviewed.

1482: A client uses a suspense account for unresolved questions whose final accounting has not been deter­mined. If a balance remains in the suspense account at year-end, the auditor would be most concerned about:

A.
suspense debits that management believes will benefit future operations.

B.
suspense debits that the auditor verifies will have realizable value to the client.

C.
suspense credits that management believes should be classified as “Current liability.”

D.
suspense credits that the auditor determines to be customer deposits.

[Forem004]

Does anyone know in what type of audit an auditor can lack independence?

[Holly]

B.
inherent risk at the maximum level.

A.
suspense debits that management believes will benefit future operations.

BEC - 79
REG - 85
AUD - 5/27/16

[Forem004]

480 is actually C: the difficulty in controlling the incremental audit risk. The incremental audit risk arises from the period between interim and the end of the year.

1482 is correct! I chose C. I've never dealt with any type of suspense account and so I was just guessing with the auditor questioning a liability.

[ortegar5]

Just saw this forum.. Good luck to you all taking the AUD exam this month! I am taking my 2nd stab at it. I failed it in Q4 2016, with a 60 🙁

I decided to take it again in January. Im testing on the 15th. I started studying again since mid December. I use Becker to study but decided to give NINJA MCQ a chance. I went through 2,255 MCQ attempts in 3 weeks. My avg score was 73% with a trending score of 90%. Fearful of memorizing my answers, I reset my stats. I've now gone through an additional 435 MCQ's. My current avg score is 83% with a trending score of 79%.

My Q4 exam experience was pretty good, well at least I thought. I walked out feeling well, and thought the exam was easy. But apparently, not reflective in my score. I think I possibly underestimated the exam, and did not truly try to learn the material. Good luck to you all!

[Forem004]

Good luck to you too! I test on the 16th. It's all about which exam you're given. I have almost five years of audit experience, 2-3 of which I have performed all audit procedures on my own with only a partner review. I thought I do great! Last month, I made a 71. I had numerous questions I had no idea about and two simulations concerning derivatives! I'm praying to get the exam made for me on the 16h. 🙂

[Zara]

Are there any simulations in NINJA on derivatives? If so could please tell me what's the #? I might not have time to do all the simulations before exam. Thnks a lot !!

[sulaiman]

@Forem004

Lack of independence is allowed under two circumstances: 1- prep (no disclosure required) 2- compilation when disclosed (otherwise would imply the auditor is independent).

Also, can you please give more details about the “derivatives” sims the you got in your exam? Does Becker has derivatives sims? Because Becker's book covers derivatives in only a one paragraph in the whole book!

[Forem004]

@zara There are not any derivative simulations, unfortunately. There is a thread somewhere in the forum that lists the titles of the simulations. It took me a little bit to find it, so good luck! Maybe Jeff can help with that?

@sulaiman I don't know how much information I'm allowed to give on the specific questions without violating something. Can someone tell me if I'm allowed to discuss the topics it discusses? I have an old Becker book and I was looking for that one paragraph again and couldn't find it. Do you remember what chapter? I found it right after the exam, but can't now. 🙁 If someone will let me know what I can do without violating anything, I will most definitely tell you!

[sulaiman]

Ch.4, page 40

[Author]

Replies