[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

[user2701]

Can someone help me with the below question as to how & why ?

Which of the following procedures would an accountant least likely perform during an engagement to review the financial statements of a nonpublic entity?

A- Observing the safeguards over access to and use of assets and records

B- Comparing the financial statements with anticipated results in budgets and forecasts

C- Inquiring of management about actions taken at the board of directors' meetings

D- Studying the relationships of financial statement elements expected to conform to predictable patterns

Correct ans is “A”.

BEC- 43(Feb'16), Retake-June 10, (Wiley text book/WQB/NINJA MCQ)
REG- TBD
FAR- TBD
AUD- TBD

[GitRDone2017]

answer would be A because you do not even consider internal control during a review. A review consists of AP and inquiries only. The other three answers are one of these two procedures. Hope that helps!

"Confidence is going after Moby Dick in a rowboat and taking tartar sauce with you" - Zig Ziglar
Ninja book + Ninja MCQ + Roger
AUD Oct 2016
FAR Nov 2016
BEC ?
REG?

[GiniC]

@user2701 –

Not sure what study aids you're using, but Becker has a mnemonic for the requirements of a review that might help: U LIAR CPA

U Understanding with the client (engagement letter/terms)
L Learn about the client's business
I Inquiries
A Analytical Procedures
R Review (additional procedures)
C Client Representation letter required
P Professional Judgment!
A Auditor communicates results

Choices B and D in your MCQ would be analytical procedures, so they would likely be done, and C is the I in the mnemonic so that's a pretty sure thing. A, however, is an AUDIT procedure, not something likely to be done when reviewing as opposed to auditing. It could be included but is less likely than the other choices.

[ahsq]

An internal control narrative indicates that an approved voucher is required to support every check request for payment of merchandise. Which of the following procedures provides the greatest assurance that this control is operating effectively?
a Select and examine vouchers and ascertain that the related canceled checks are dated no later than the vouchers.
b Select and examine vouchers and ascertain that the related canceled checks are dated no earlier than the vouchers.
c Select and examine canceled checks and ascertain that the related vouchers are dated no earlier than the checks.
d Select and examine canceled checks and ascertain that the related vouchers are dated no later than the checks.

help me!!

[GiniC]

@ahsq

You're ahead of me, but I'm remembering from my audit class…

The control requires every check request must have a prior-approved voucher, not that every voucher have an accompanying check request. Therefore I would examine canceled checks to be sure that each one has a related voucher dated before the checks were written. (in reality, I would be looking at the check requests, not the checks – but that's not in the choices)

Does that match the provided answer and help with thought process?

[pharaoh]

@ahsq – is it D?

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

[Sticky Nicky]

gotta go w D also

[HoosierCPA]

I passed guys! Going from Becker to Ninja took me from a 64 to an 80! Thanks for all your help! Moving on to REG to try and close this out! Good luck to everyone!

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

[pharaoh]

@dtatham10 – congrats, happy for you

@Sticky – I see that you changed your BEC score. Congrats to you too. Were you using Roger and Ninja for BEC?

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

[HoosierCPA]

Thanks @Pharaoh now I'm finally coming off my high and its time for bed!

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

[Sticky Nicky]

pharoah yes roger and ninja,,,also becker hw and wiley mcqs for retake,,,the test was night and day compared to the first,,walked out knowing i passed the second

[JT]

Congrats to those that passed!!… @dtatham and @trele

Please feel free to share your techniques that were helpful in your passing attempts.

REG-80-1X
BEC-80-1X
FAR-73-1X
FAR-75-2X
AUD-September 2016

[HoosierCPA]

@JT for my 2nd attempt I already had a decent foundation laid. I got so caught up on chapter 2 on SSARS and SSAE that I neglected a lot of the other material without even really noticing. After my 64 I decided I would take an approach I saw many people post which is just pound out as many MCQ's as you can. I don't have the available time many have on this site so many for me was around 2,600 in a 4-5 week stretch. The one huge edge Ninja has over Becker is the detailed overviews where you can clearly see where you are scoring weak in.

Ninja mcq's you will get many of the repeat easy quesitons you see in Becker so I suggest your first time around always setting your quesionts as “new only” working through them and then 2nd time around do “missed last time” or “troubled questions”. That's it there wasn't anything fancy about it. Just question after question–make sure you understand the material and its not memorization–but this is all stuff I'm sure you've heard.

Good luck!

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

[Forem004]

Multiple choice questions over and over!

[jeff]

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

[Author]

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