AUD Study Group Q2 2015 - Page 56

  • 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 - 826 through 840 (of 1,631 total)
1 2 3 … 55 56 57 … 107 108 109
  • Author
    Replies
  • April 1, 2015 at 5:31 pm #669176
    CPA2B_NJ
    Member

    Which of the following should be the first step in reviewing the financial statements of a nonpublic entity?

    A.Comparing the financial statements with statements for comparable prior periods and with anticipated results

    B.Completing a series of inquiries concerning the entity's procedures for recording, classifying, and summarizing transactions

    C.Obtaining a general understanding of the entity's organization, its operating characteristics, and its products or services

    D.Applying analytical procedures designed to identify relationships and individual items that appear to be unusual

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

    To God be the glory! Forever, amen!

    NJ License

    April 1, 2015 at 5:36 pm #669177
    CPA2B_NJ
    Member

    ***Did you know***

    When an accountant determines the financial statements contain one or more departures from GAAP, the first action is to ask management to revise the financial statements. If management refuses, the next action is to consider modifying one or more paragraphs to illustrate the departure and disclose the dollar effects. If a modified report is not sufficient to express the deficiencies, the accountant should withdraw from the engagement.

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

    To God be the glory! Forever, amen!

    NJ License

    April 1, 2015 at 5:58 pm #669178
    ladybossxo
    Participant

    C??

    CPA Exams Done.

    April 1, 2015 at 6:06 pm #669179
    AJG38
    Participant

    C?

    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

    April 1, 2015 at 6:18 pm #669180
    trish_1234
    Member

    c

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

    April 1, 2015 at 7:45 pm #669181
    Martin
    Participant

    C.Obtaining a general understanding of the entity's organization, its operating characteristics, and its products or services

    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

    April 1, 2015 at 7:54 pm #669182
    CPA2B_NJ
    Member

    Correct!

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

    To God be the glory! Forever, amen!

    NJ License

    April 2, 2015 at 12:46 am #669183
    trish_1234
    Member

    I like this question

    An auditor established a $60,000 tolerable misstatement for an asset with an account balance of $1,000,000. The auditor selected a sample of every twentieth item from the population that represented the asset account balance and discovered overstatements of $3,700 and understatements of $200. Under these circumstances, the auditor most likely would conclude that

    A. There is an unacceptably high risk that the actual misstatements in the population exceed the tolerable misstatement because the total projected misstatement is more than the tolerable misstatement.

    B. There is an unacceptably high risk that the tolerable misstatement exceeds the sum of actual overstatements and understatements.

    C. The asset account is fairly stated because the total projected misstatement is less than the tolerable misstatement.

    D. The asset account is fairly stated because the tolerable misstatement exceeds the net of projected actual overstatements and understatements.

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

    April 2, 2015 at 1:05 am #669184
    se7en.14
    Participant

    any methods of memorizing the Type 1 and type 2 reports in Internal control?

    April 2, 2015 at 1:15 am #669185
    CPA2B_NJ
    Member

    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.add an emphasis-of-matter or other-matter paragraph to the standard auditor's report that justifies the reason for the omission.

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

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

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

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

    To God be the glory! Forever, amen!

    NJ License

    April 2, 2015 at 1:16 am #669186
    CPA2B_NJ
    Member

    Answer is C – Omission of the statement of cash flow is not a client-imposed scope limitation.

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

    To God be the glory! Forever, amen!

    NJ License

    April 2, 2015 at 1:22 am #669187
    trish_1234
    Member

    I never memorized those reports. I just learned the contents.

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

    April 2, 2015 at 1:27 am #669188
    CPA2B_NJ
    Member

    ***Did you know***

    Statistical sampling uses the laws of probability to make statements about a population. It allows the auditor to calculate the risk of reliance on the sample to assess control risk, and enables the auditor to make objective statements about the population on the basis of the sample. Because the auditor is able to measure and control the sampling risk, the auditor is able to measure the sufficiency of the audit evidence obtained.

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

    To God be the glory! Forever, amen!

    NJ License

    April 2, 2015 at 11:57 am #669190
    trish_1234
    Member

    Good morning

    An auditor has determined the recorded amount of a population of accounts receivable to be $1,638,000 and has set the level of tolerable misstatement (TM) at $46,800. No errors were expected to be found in the population. Based upon a risk of incorrect acceptance of 5% and a reliability factor (RF) of 3, what is the sample size to be used for testing?

    A. 105

    B. 15,600

    C. 35

    D. Cannot be determined with the available information.

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

    April 2, 2015 at 12:32 pm #669191
    CPA2B_NJ
    Member

    An auditor ordinarily uses a working trial balance resembling the financial statements without footnotes but containing columns for:

    A.cash flow increases and decreases.

    B.audit objectives and assertions.

    C.reclassifications and adjustments.

    D.reconciliations and tick marks

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

    To God be the glory! Forever, amen!

    NJ License

  • Author
    Replies
Viewing 15 replies - 826 through 840 (of 1,631 total)
1 2 3 … 55 56 57 … 107 108 109
  • The topic ‘AUD Study Group Q2 2015 - Page 56’ is closed to new replies.