[jeff]

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/

[ahugemistake]

Ok now, is this question confusing for anyone else?

Tests designed to detect purchases made before the end of the year that have been recorded in the subsequent year most likely would provide assurance about management's assertion of:

A.

occurrence.

B.

completeness.

C.

cutoff.

D.

accuracy.

and this is the explanation

The cutoff assertion concerns itself with whether transactions and events have been recorded in the correct accounting period. Tests designed to test appropriate cutoffs would be an attempt by the auditor to verify cutoff.

AU-C 315.A114 states that assertions about classes of transactions and events for the period under audit fall into two categories:

Completeness. All transactions and events that should have been recorded have been recorded.

Cutoff. Transactions and events have been recorded in the correct accounting period.

In this case, the transaction would have been recorded, but not in the correct period, and therefore it is a cutoff issue, not a completeness issue.</quote>

FAR - 78*
AUD - 66, 79
REG - 73, 76
BEC - 79

[ahugemistake]

I just need a way to understand the difference completeness and cutoff – they sound the same to me?

FAR - 78*
AUD - 66, 79
REG - 73, 76
BEC - 79

[trish_1234]

I know. I have been noticing that too… I am in MA and the time is 9.09pm let me know when you guys see this

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

[trish_1234]

The correct answer is D all of the above

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

[trish_1234]

The correct answer is D all of the above

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

[trish_1234]

@ ahugemistake, some completeness tests incorporates cutoffs…

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

[trish_1234]

Cut-off is strictly recording in the same period.. completeness refers to do the balances contain all transactions…

Be carefull… here is one that I had to think abt when studying this stuff …..

For Purchase and AP completeness you would trace subsequent payments to recorded payables (match checks issued after year end with payables) any check that cannot be matched are likely unrecorded liabilities.

now the above substantive test sounds like a cut off test but it is actually a completeness test for payables bc missing transaction means “the balance does not contain all transactions”

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

[jeff]

Trish – this thread doesn't like you for some reason…might not be worth creating a new name for if your exam is near.

[Anonymous]

To gain assurance that all inventory items in a client's inventory listing schedule are valid, an auditor most likely would trace

a. Inventory tags noted during the auditor's observation to items listed in the inventory-listing schedule.

b. Inventory tags noted during the auditor's observation to items listed in receiving reports and vendors' invoices.

c. Items listed in the inventory-listing schedule to inventory tags and the auditor's recorded count sheets.

d. Items listed in receiving reports and vendors' invoices to the inventory-listing schedule.

[Anonymous]

@do over C?

[trish_1234]

@ jeff thank you. I was registering again but it recognizes my email what should I do

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

[trish_12345]

Ok I got a new user name to see if it helps with my posts this is a test

[okcpa2015]

@DoOver, I'm going with C as well.

FAR - 91
REG - 88
AUD - 98
BEC - 88

[okcpa2015]

@Trish, when I'm going through MCQs and I see a question regarding the completeness assertion I instantly look to see if “Cut-Off” procedures is a choice.

Regarding the Completeness assertion for the Revenue cycle, cut-off test would be most appropriate by reviewing the shipping terms and the shipping documents to make sure all revenue that should have been recorded is recorded.

FAR - 91
REG - 88
AUD - 98
BEC - 88

[trish_12345]

u guys can see my posts????? OMG this is frustrating… Jeff I re-registered I dont think it is working!!!!!!!!!!!

[Author]

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