Auditing: A Risk Based-Approach

Pagen1

Test Bank

Auditing: A Risk Based-Approach

12th Edition by Karla M. Zehms and Larry E. Rittenberg All Chapters 1-15 Covered

• / 4

Pagen2

TABLEnOFnCONTENT

1.nQualitynAuditing:nWhynItnMatters.

2.nThenAuditor’snResponsibilitiesnRegardingnFraudnandnMechanismsntonAddressnFraud:nRegulationnandnCorporatenGoverna nce.

3.nInternalnControlnOvernFinancialnReporting:nResponsibilitiesnofnManagementnandnthenExternalnAuditor.

4.nProfessionalnLegalnLiability.

5.nProfessionalnAuditingnStandardsnandnthenAuditnOpinionnFormulationnProcess.

6.nAuditnEvidence.

7.nPlanningnthenAudit:nIdentifyingnandnRespondingntonthenRisksnofnMaterialnMisstatement.

8.nSpecializednAuditnTools:nSamplingnandnGeneralizednAuditnSoftware.

9.nAuditingnthenRevenuenCycle.

10.nAuditingnCashnandnMarketablenSecurities.

11.nAuditingnInventory,nGoodsnandnServices,nandnAccountsnPayable:nThenAcquisitionnandnPaymentnCycle.

12.nAuditingnLong-LivednAssets:nAcquisition,nUse,nImpairment,nandnDisposal.

13.nAuditingnLong-TermnLiabilitiesnandnStockholders'nEquitynTransactions.

14.nCompletingnanQualitynAudit.

15.nAuditnReports.

• / 4

Pagen3

Chaptern01

• Thenneednfornindependentnassurancenarisesnbecausentheninterestsnofnthenusersnofninformationnmaynbendiffere

ntnfromntheninterestsnofnthosenresponsiblenfornprovidingninformation.

• True
• False

ANSWER: True

POINTS: 1

QUESTIONnTYPE: Truen/nFalse

HASnVARIABLES: False

LEARNINGnOBJECTIVES:nAUD.ZEHMS.24.01.01n-

nDefinenfinancialnstatementnauditingninnrelationntondecisionnmakers’ndemandsnfornreliablenfina ncialnandninternalncontrolninformation

NATIONALnSTANDARDS:nUnitednStatesn-

nBUSPROG:nComprehensionnSTATEnSTANDARDS: UnitednStatesn-nAKn- nAICPAnBB-CriticalnthinkingnDATEnCREATED: 5/26/2023n4:48nAM DATEnMODIFIED: 5/26/2023n4:49nAM

• Anfinancialnstatementnauditnisnansystematicnprocessnofnobjectivelynobtainingnandnevaluatingnevidence.
• True
• False

ANSWER: True

POINTS: 1

QUESTIONnTYPE: Truen/nFalse

HASnVARIABLES: False

LEARNINGnOBJECTIVES:nAUD.ZEHMS.24.01.01n-

nDefinenfinancialnstatementnauditingninnrelationntondecisionnmakers’ndemandsnfornreliablenfina ncialnandninternalncontrolninformation

NATIONALnSTANDARDS:nUnitednStatesn-

nBUSPROG:nComprehensionnSTATEnSTANDARDS: UnitednStatesn-nAKn- nAICPAnBB-CriticalnthinkingnDATEnCREATED: 5/26/2023n4:59nAM DATEnMODIFIED: 5/26/2023n5:00nAM

• AnbanknusingnMiltonnCompany'snfinancialnstatementsntonevaluatenMilton’snloannapplicationnisnannexamplenofnan

user’snneednfornunbiasednreporting.

• True
• False 3 / 4

Pagen4

ANSWER: True

POINTS: 1

QUESTIONnTYPE: Truen/nFalse

HASnVARIABLES: False

LEARNINGnOBJECTIVES:nAUD.ZEHMS.24.01.01n-

nDefinenfinancialnstatementnauditingninnrelationntondecisionnmakers’ndemandsnfornreliablenfina ncialnandninternalncontrolninformation

NATIONALnSTANDARDS:nUnitednStatesn-

nBUSPROG:nComprehensionnSTATEnSTANDARDS: UnitednStatesn-nAKn- nAICPAnBB-CriticalnthinkingnDATEnCREATED: 5/26/2023n5:01nAM DATEnMODIFIED: 5/26/2023n5:02nAM

• Annintegratednauditnrequiresnthenauditorntonassessntheneffectivenessnofninternalncontrols.
• / 4