AUD Study Group Q2 2015 - Page 54

  • Creator
    Topic
  • March 5, 2015 at 8:09 pm #192520
    jeff
    Keymaster

    Welcome to the Q2 2015 CPA Exam Study Group for AUD.

    World Premier: “Unmodified” (Audit Reports Rap Video) 🙂

    Posted by Another71 on Thursday, November 13, 2014

    Free NINJA: https://www.another71.com/cpa-exam-study-plan/

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

Viewing 15 replies - 796 through 810 (of 1,631 total)
1 2 3 … 53 54 55 … 107 108 109
  • Author
    Replies
  • March 31, 2015 at 6:26 pm #669146
    nissacof
    Member

    DPD516 – Independence is impaired if member has not been paid for more than a year.

    BEC - 4/3/2014 (80)
    FAR - 11/20/2014 (79)
    AUD - 4/2/15 (81)
    REG - 7/14/15 (80)

    March 31, 2015 at 6:35 pm #669147
    trish_1234
    Member

    Ratios are going to be the end of my life…. I have asked this before but going to repeat bc we have more ppl in the forum now….

    Anyone has an easy (magical trick) to learn how circumstances effects ratio. At this time I am memorizing every question I get but I wish I could just master this topic (the reason I failed actual exam) or find a study material that gives all possible outcomes….

    For instance:

    inventory turnover increased from previous period

    Explanation (taken from sims had 20 different explanations to choose from)

    items shipped on consignment during the last month of the year were recorded as sales

    AUD 69, 92 7/15 Gleim and Ninja test bank
    FAR sometime in 10/15 Gleim
    BEC not taken
    REG not taken

    March 31, 2015 at 6:41 pm #669148
    nissacof
    Member

    When an outside specialist has assumed full responsibility for taking the client’s physical inventory, reliance on the specialist’s report is acceptable if

    a.The auditor is satisfied through the application of appropriate procedures as to the reputation and competence of the specialist.

    b.Circumstances made it impracticable or impossible for the auditor either to do the work personally or observe the work done by the inventory firm.

    c.The auditor conducted the same audit tests and procedures as would have been applicable if the client employees took the physical inventory.

    d.The auditor’s report contains a reference to the assumption of full responsibility.

    BEC - 4/3/2014 (80)
    FAR - 11/20/2014 (79)
    AUD - 4/2/15 (81)
    REG - 7/14/15 (80)

    March 31, 2015 at 6:42 pm #669149
    shanek327
    Participant

    A?

    FAR - 75
    AUD - 78
    BEC - 82
    REG - 77

    2 Corinthians 5:21

    Our value does not come from our skills and abilities, as good as they may be; it does not come from our GPA, our job, a promotion from that job to a better job, our success on the CPA exam, or anything of the like; but our value comes from the fact that we have a Creator who loves us, cares for us, and desires to help us navigate the rough waters of this life in a way that provides security, hope, and true, everlasting joy while we anticipate the life to come, with Him.

    March 31, 2015 at 6:45 pm #669150
    CPA2B_NJ
    Member

    A?

    FAR - 50, 78
    BEC - 67, 72, 75
    AUD - 72, 80
    REG - 70, 85

    To God be the glory! Forever, amen!

    NJ License

    March 31, 2015 at 7:06 pm #669151
    nissacof
    Member

    Correct answer is C….

    This answer is correct because when a CPA has conducted the same tests as s/he would have if client employees had taken the inventory, sufficient evidence will normally have been collected. In fact, in many such circumstances the CPA may reduce the extent of his/her work.

    In regards to A…

    This answer is incorrect because even if the reputation and competence of the specialist have been evaluated, some test counts will be necessary.

    BEC - 4/3/2014 (80)
    FAR - 11/20/2014 (79)
    AUD - 4/2/15 (81)
    REG - 7/14/15 (80)

    March 31, 2015 at 7:46 pm #669152
    Martin
    Participant

    When you divide responsibility, you modify the intro,Auditor's responsibility and opinion according to Roger. Is he correct on this one?

    Through God all things can happen!

    “You never fail until you stop trying.”
    ― Albert Einstein
    When I was young, I used to admire intelligent people;as I grow older, I admire kind people.
    “Just keep swimming, just keep swimming.”

    FAR= 72-84
    Audit= 73-82
    BEC= 74-75
    Reg=77

    March 31, 2015 at 9:12 pm #669153
    Anonymous
    Inactive

    @Martin. Yes, you are correct. As an example:

    Auditor's Responsibility

    Our responsibility is to express an opinion on these consolidated financial statements based on our audits. We did not audit the financial statements of B Company, a wholly-owed subsidiary, which statements reflect total assets constituting 35 percent and 40 percent, respectively, of consolidated total assets at December 31, 20X1 and 20X0….”

    Opinion

    In our opinion, based on our audit and the report of the other auditors, the consolidated financial statements referred to above present fairly, in all material respects, the final position of ABC Company and its subsidiaries as of December 31, 20X1 and 20X0….

    March 31, 2015 at 9:18 pm #669154
    Anonymous
    Inactive

    Zag Co. issues financial statements that present financial position and results of operations but Zag omits the related statement of cash flows. Zag would like to engage Brown, CPA, to audit its financial statements without the statement of cash flows although Brown's access to all of the information underlying the basic financial statements will not be limited. Under these circumstances, Brown most likely would:

    a.

    Explain to Zag that the omission requires a qualification of the auditor's opinion.

    b.

    Refuse to accept the engagement as proposed because of the client-imposed scope limitation.

    c.

    Prepare the statement of cash flows as an accommodation to Zag and express an unmodified opinion.

    d.

    Add an emphasis-of-matter paragraph to the auditor's report that justifies the reason for the omission.

    March 31, 2015 at 9:42 pm #669155
    nissacof
    Member

    a.?

    BEC - 4/3/2014 (80)
    FAR - 11/20/2014 (79)
    AUD - 4/2/15 (81)
    REG - 7/14/15 (80)

    March 31, 2015 at 9:44 pm #669156
    Martin
    Participant

    al0515, thanks.

    Through God all things can happen!

    “You never fail until you stop trying.”
    ― Albert Einstein
    When I was young, I used to admire intelligent people;as I grow older, I admire kind people.
    “Just keep swimming, just keep swimming.”

    FAR= 72-84
    Audit= 73-82
    BEC= 74-75
    Reg=77

    March 31, 2015 at 10:06 pm #669157
    trish_1234
    Member

    A

    AUD 69, 92 7/15 Gleim and Ninja test bank
    FAR sometime in 10/15 Gleim
    BEC not taken
    REG not taken

    March 31, 2015 at 10:39 pm #669158
    AJG38
    Participant

    DPD516….D?

    AUD - 91 (4/7/2015)
    BEC - 88 (4/29/2015)
    FAR - 80 (5/29/2015)
    REG - 70 (8/18/2015); 82 (11/08/2015)

    Gleim & Ninja Flashcards

    March 31, 2015 at 10:44 pm #669159
    Martin
    Participant

    a.

    Explain to Zag that the omission requires a qualification of the auditor's opinion.

    Through God all things can happen!

    “You never fail until you stop trying.”
    ― Albert Einstein
    When I was young, I used to admire intelligent people;as I grow older, I admire kind people.
    “Just keep swimming, just keep swimming.”

    FAR= 72-84
    Audit= 73-82
    BEC= 74-75
    Reg=77

    March 31, 2015 at 11:42 pm #669160
    Anonymous
    Inactive

    A is correct. I had chosen B, but I guess we are supposed to know it's not a scope limitation since it says all the underlying data would have been provided.

  • Author
    Replies
Viewing 15 replies - 796 through 810 (of 1,631 total)
1 2 3 … 53 54 55 … 107 108 109
  • The topic ‘AUD Study Group Q2 2015 - Page 54’ is closed to new replies.