[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/

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

[okcpa2015]

Great questions @DoOver. In this case a Written agreement would be required, most like any type of engagement so everyone knows what is expected of them. The word “oral” makes B incorrect.

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

[ahugemistake]

https://www.ncacpa.org/wp-content/uploads/2014/06/chartforpost.jpg

Why does it say that for compilations the accountant should check for independence?

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

[okcpa2015]

@ahugemistake, because if the accountant is not independent regarding a compilation they must state that in the compilation report. Also, the are NOT required to list the reasons why they are not independent.

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

[Anonymous]

Not sure if this one has been posted already:

When communicating internal control related matters noted in an audit, an auditor's report issued on significant deficiencies should indicate that:

A. misstatements may occur and not be detected because there are inherent limitations in any internal control.

B. the issuance of an unmodified opinion on the financial statements may be dependent on corrective follow-up action.

C. the deficiencies noted were not detected within a timely period by employees in the normal course of performing their

assigned functions.

D. the purpose of the audit was to report on the financial statements and not to provide assurance on internal control

[NoraU]

CPA Title in 2015:Non of the answers describe a significant deficiency so I think it is D – an auditor disclaims the responsibility to provide an opinion on IC.

Is your test Friday? If so GOOD LUCK to both of us!

BEC 05/12/14 77
REG 08/25/14 82
FAR 11/25/14 80
AUD 02/25/15 72, 05/15/15 98! DONE!!!!!!!!!!!!!!!!!!!!!!

[okcpa2015]

I'm going with D as well.

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

[Anonymous]

The answer is D — you are both right

Yes, my exam is on Friday. Good luck to you as well. I'm not going to have time to review the sims like I wanted to. I did all the ninja sims once, but I wanted to go through them a second time.

[Anonymous]

I'm on my lunch break so I'll keep posting questions.

[Anonymous]

This one should be fairly easy:

Which of the following types of audit evidence generally is the most appropriate?

A. Inquiries made of management

B. Confirmation of account information

C. Analytical procedures

D. Review of prior-year audit procedures

[NoraU]

B?

BEC 05/12/14 77
REG 08/25/14 82
FAR 11/25/14 80
AUD 02/25/15 72, 05/15/15 98! DONE!!!!!!!!!!!!!!!!!!!!!!

[Anonymous]

B is correct.

[Anonymous]

Which of the following controls would an entity most likely use to assist in satisfying the completeness assertion related to long-term investments?

A. Senior management verifies that securities in the bank safe-deposit box are registered in the entity's name.

B. The internal auditor compares the securities in the bank safe-deposit box with recorded investments.

C. The treasurer vouches the acquisition of securities by comparing brokers' advices with canceled checks.

D. The controller compares the current market prices of recorded investments with the brokers' advices on file.

[NoraU]

B?

BEC 05/12/14 77
REG 08/25/14 82
FAR 11/25/14 80
AUD 02/25/15 72, 05/15/15 98! DONE!!!!!!!!!!!!!!!!!!!!!!

[okcpa2015]

I'm going with B on this one as well.

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

[Anonymous]

Yep. B is right.

[Author]

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