[jeff]

Welcome to the Q4 2016 CPA Exam Study Group for AUD.

If this is your first post in the study group – please post your target exam date (just the time frame to preserve your anonymity), and your past history with this exam (optional, of course).

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

[KJ]

I am not doing too good with my review. Transaction cycles are killing me. How are you keeping straight with these cycles?

FAR - August 2016
AUD - September 2016
REG - October 2016
BEC - November 2016

Remember: "Everything should be made as simple as possible, but not simpler." - Albert Einstein

[KJ]

An auditor concludes that a client’s illegal act, which
has a material effect on the financial statements, has not
been properly accounted for or disclosed. Depending on the
materiality of the effect on the financial statements, the auditor
should express either a(n)
a. Adverse opinion or a disclaimer of opinion.
b. Qualified opinion or an adverse opinion.
c. Disclaimer of opinion or an unmodified opinion with a
separate emphasis-of-matter paragraph.
d. Unmodified opinion with a separate emphasis-of matter
paragraph or a qualified opinion.

I got it correct, B.

I just want to know if I am thinking this right. I understand adverse opinion due to material effect as financial statements are not being a fair representation but its also qualified because illegal act is being referred to as a scope limitation which is material.

FAR - August 2016
AUD - September 2016
REG - October 2016
BEC - November 2016

Remember: "Everything should be made as simple as possible, but not simpler." - Albert Einstein

[KJ]

I realized it after I post the question, it will be Qualified due to omission of disclosure, correct?

FAR - August 2016
AUD - September 2016
REG - October 2016
BEC - November 2016

Remember: "Everything should be made as simple as possible, but not simpler." - Albert Einstein

[pharaoh]

Yes. Omission of disclosure or inadequate disclosure can be qualified or adverse depends on how material it is.

Qualified/modified opinion can be used in either scope limitation or inadequate disclosures

FAR 8/2016
AUD 1/2017
REG TBD
BEC TBD

[KJ]

Thanks Pharaoh!!

FAR - August 2016
AUD - September 2016
REG - October 2016
BEC - November 2016

Remember: "Everything should be made as simple as possible, but not simpler." - Albert Einstein

[Just3Letters]

Hey people,

I'm starting to feel not so hot about my test last weekend. I know now that I totally messed up a part of one of my sims. This was probably only about 1/3 of a sim… but it sucks SO MUCH to know you messed up after you take your test. I was so confident with the answer when I did it and looking back I know I was an idiot.

It's going to hurt so bad if I failed this. And it's so tough to stop thinking about it and focus on work while I wait for my score.

Sorry, rant over :/

FAR- 81
REG- 81
BEC- Aug 22, 2016
AUD- TBD

[Josh]

so close, @just3letters! You don't know for sure until release date; which exam did you pass first?

[Josh]

I might know this one; anyone want to try?
Which of the following violates the AICPA’s Code of Professional Conduct?
A. A member contracts with a service entity to maintain a client’s computer hardware and charges the client a higher servicing fee than that charged to the member by the service provider.
B. A member not in public practice is a bank controller who is designated as a CPA on bank stationery and in bank advertisements listing officers of the bank.
C. A member shares offices with another member. Their joint letterhead implies that a partnership exists when each member is in fact practicing individually.
D. A partner in a CPA firm is elected to public office. After her withdrawal from the firm, the remaining partners continue to use a firm name that includes her name.

[laura.nazario]

hello all!

can someone know if there is a list of the SIMS BY # AND TOPIC (2016) ??

thanks !

[George]

Which of the following services may a CPA perform in carrying out a consulting service engagement for a client?

Review of the client-prepared business plan
Preparation of information for obtaining financing
A.
I only

B.
II only

C.
Both I and II

D.
Neither I nor II

[HoosierCPA]

Do you guys know if the actual CPA exam can have multiple right sections for the AL. I just did a practice one on ninja:

Question: “What section and paragraph of the AICPA's Codification of Statements on Auditing Standards (clarified standards) state that

misstatements in the financial statements can arise from either fraud or error?

”

I chose AU-C 200.14 which has a definition of mistatement that says: “Misstatement. A difference between the amount, classification, presentation, or disclosure of a reported financial statement item and the amount, classification, presentation, or disclosure that is required for the item to be presented fairly in accordance with the applicable financial reporting framework.

Misstatements can arise from fraud or error

”

They wanted AU-C 240.02 “

Misstatements in the financial statements can arise from either fraud or error

. The distinguishing factor between fraud and error is whether the underlying action that results in the misstatement of the financial statements is intentional or unintentional.”

I don't disagree with there selection I Just don't think mine is wrong either–however havnig said that if I would have went further there section is dedicated to this one issue whereas mine is one sentence in a mixture of a bunch of other topics so I can see why that one is more correct. I always run into the issue if I think something is right I just choose it and don't bother to go through all of the other hits to see if there is a “more correct” answer.

FAR - 78
REG - 72,74,71...please just go away REG nobody likes you!
BEC - 82
AUD - Aug 16

[HoosierCPA]

Side note: epic fail on my first attempt at the underline feature–that's why my formatting is all screwed up! basically I just wanted to show they all use the term that misstatements can arise from error or fraud!

FAR - 78
REG - 72,74,71...please just go away REG nobody likes you!
BEC - 82
AUD - Aug 16

[HoosierCPA]

@CPAWarrior that's going to be Both I & II, I've missed it enough times where it's singed in my brain. Basically they are saying as long as they don't carry out managerial duties for the company then they can do it.

FAR - 78
REG - 72,74,71...please just go away REG nobody likes you!
BEC - 82
AUD - Aug 16

[HoosierCPA]

@jalls care to share the answer? I am giving my best educated guess and saying C — but like i said that's just a guess!

FAR - 78
REG - 72,74,71...please just go away REG nobody likes you!
BEC - 82
AUD - Aug 16

[Just3Letters]

@jalls,

C has to be the answer. I passed FAR, then REG, then BEC… ugh I hate the waiting game but it's much worse waiting on final score!

FAR- 81
REG- 81
BEC- Aug 22, 2016
AUD- TBD

[Author]

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