Question 1

A secondary objective of the auditor's study and evaluation of internal control is that the study and evaluation provide

Accepted Answer

A)  a basis for constructive suggestions concerning improvements in internal control. 
B)  a basis for reliance on the accounting system. 
C)  an assurance that the records and documents have been maintained in accordance with existing company policies and procedures. 
D)  an indication that management and employees are trustworthy. 
A)  a basis for constructive suggestions concerning improvements in internal control. 
B)  a basis for reliance on the accounting system. 
C)  an assurance that the records and documents have been maintained in accordance with existing company policies and procedures. 
D)  an indication that management and employees are trustworthy.

Question 2

A) Describe the four broad objectives of management when designing an effective system of internal control.
B) Describe the aspect of internal control with which auditors are primarily concerned with for a financial statement audit.

Accepted Answer

A)Management typically has the following

A secondary objective of the auditor's study and evaluation of internal control is that the study and evaluation provide

A) Describe the four broad objectives of management when designing an effective system of internal control. B) Describe the aspect of internal control with which auditors are primarily concerned with for a financial statement audit.

The Demand for Audit and Other Assurance Services

The Public Accounting Profession and Audit Quality

Legal Liability

Professional Judgment and Ethics

Audit Responsibilities and Objectives

Client Acceptance and Planning the Audit

Materiality and Risk

Audit Evidence

Audit Strategy and Audit Program

Audit Sampling Concepts

Audit of the Revenue Cycle

Audit of the Acquisition and Payment Cycle

Audit of the Inventory and Distribution Cycle

Audit of the Human Resources and Payroll Cycle

Audit of the Capital Acquisition and Repayment Cycle

Audit of Cash Balances

Completing the Audit

Audit Reports on Financial Statements

Other Assurance and Nonassurance Services

Filters

Exam 8: Internal Controls and Control Risk

A secondary objective of the auditor's study and evaluation of internal control is that the study and evaluation provide

A) Describe the four broad objectives of management when designing an effective system of internal control. B) Describe the aspect of internal control with which auditors are primarily concerned with for a financial statement audit.

The Demand for Audit and Other Assurance Services

The Public Accounting Profession and Audit Quality

Legal Liability

Professional Judgment and Ethics

Audit Responsibilities and Objectives

Client Acceptance and Planning the Audit

Materiality and Risk

Audit Evidence

Audit Strategy and Audit Program

Audit Sampling Concepts

Audit of the Revenue Cycle

Audit of the Acquisition and Payment Cycle

Audit of the Inventory and Distribution Cycle

Audit of the Human Resources and Payroll Cycle

Audit of the Capital Acquisition and Repayment Cycle

Audit of Cash Balances

Completing the Audit

Audit Reports on Financial Statements

Other Assurance and Nonassurance Services

Filters