Exam 11: Auditing of Governmental and Not-For-Profit Organizations

"An unmodified opinion on the financial statements of a local government means that all statements in the comprehensive annual financial report (CAFR)have been audited and conform with GAAP." Do you agree or disagree? Why?

In audits of state and local government units which of the following sections may not be required in the auditor's report for every audit?

Which of the following statements regarding audit findings is ?

Cognizant agencies:

A single audit conducted pursuant to the Single Audit Act Amendments of 1996 requires which of the following types of audits?

The U.S.Office of Management and Budget issues generally accepted auditing standards which provide general guidelines for governmental audits and address the minimum responsibilities of the auditor.

One of the primary purposes of the Single Audit Act of 1984 (amended in 1996)is to:

To help identify threats to independence,generally accepted government auditing standards establish a conceptual framework that requires auditors to identify,evaluate,and apply safeguards to appropriately address threats to independence.

Generally accepted government auditing standards (GAGAS)require that auditors conducting a GAGAS audit complete at least 80 hours of continuing professional education (CPE)that directly contributes to the auditor's professional proficiency to perform such audit work.

An auditor would not render an opinion on a(an):

In auditing compliance with laws and regulations as part of a single audit,the auditor must render an opinion on the specific requirements applicable to each program for which the entity receives federal financial assistance.

The purpose of an attestation engagement may include all of the following,except:

Which of the following best describes the relationship between generally accepted auditing standards (GAAS)and generally accepted government auditing standards (GAGAS)?

Typical objectives of a performance audit include:

Only state and local governments and their component units must have single audits; colleges and universities and other not-for-profit organizations that expend federal financial awards are not required to have single audits.

When compared to generally accepted auditing standards (GAAS),generally accepted government auditing standards (GAGAS)include additional General Standard requirements for financial audits related to all of the following except:

In order for users of financial statements to have the assurance that the statements have been prepared in conformity with accounting and financial reporting standards established by authoritative bodies,and that all material facts have been disclosed,the statements should be accompanied by the report of an independent auditor.

When conducting a single audit:

Guidelines for grant accounting and reporting is contained within Uniform Administrative Requirements,Cost Principles,and Audit Requirements for Federal Awards,issued by the AICPA.

Governments and not-for-profit entities may be subject to each of the following levels of audit except: