ACCT 555 Final Exam 100% Correct Answers
1. (TCO B) An auditor was unable to obtain sufficient appropriate audit evidence concerning certain transactions due to an inadequacy in the entity’s accounting records. The auditor would choose between issuing a(an): (Points : 5)
Question2. (TCO K) An auditor should consider which of the following when evaluating the ability of a company to continue as a going concern? (Points : 5)
Question3. (TCO A) An auditor’s independence is considered impaired if the auditor has: (Points : 5)
Question4. (TCO H) Which of the following should be included as a written representation from management? (Points : 5)
Question 5. (TCO E) An auditor would most likely be concerned with internal controls that provide reasonable assurance about the: (Points : 5)
Question 1. (TCO A) In performing an ATTEST Engagement A CPA would be required to do what as part of the engagement? (Points : 19)
2. (TCO B) When a CPA performs an Audit the Client is always looking to receive a “CLEAN OPINION” or an Unqualified Opinion. Explain what your client must do for a CPA to justify that Unqualified Opinion? (Points : 19)
3. (TCO C) – Based upon the below 4 situations – explain your position of “why” or “why not” the following circumstances would have violated the professions ethical standards when you are a practicing CPA?
4. (TCO D) Discuss five steps individual practicing auditors can take to minimize their legal liability. (Points : 19)
5. (TCO F) Sarbanes Oxley requires that per Section 404 that Internal Controls within a publicly held company are to be reviewed, evaluated and tested at year end to insure that adequate controls are in place. In addition to understanding the Internal Controls present within your client’s company, the auditor must also evaluate whether these controls are in place, and implemented. How does an auditor...