Exam 2: The Financial Statement Auditing Environment

The AICPA's Statements on Auditing Standards can be described as

A typical objective of an operational audit is for the auditor to

Because of the risk of material misstatement,an audit of financial statements in accordance with generally accepted auditing standards should be planned and performed with an attitude of

The four PCAOB standards of reporting are concerned with all of the following except

You are the owner of a small grocery store,Corner Marketplace.Explain the five process categories and how they apply to your business.

What is the general character of the work conducted in performing a forensic audit for a company?

The IAASB and the ASB collaborated on a replacement for the 10 GAAS standards which include principles underlying an audit conducted in accordance with generally accepted auditing standards.

The accuracy of information included in footnotes accompanying the audited financial statements issued by a company whose shares are traded on a stock exchange is the primary responsibility of

An internal auditor is likely to be more concerned with _________________ than the external auditor.

Governmental auditing often extends beyond examinations leading to the expression of an opinion on the fairness of financial presentation and includes audits of efficiency,effectiveness,and

The principles underlying an audit conducted in accordance with generally accepted auditing standards are grouped into four categories.The second category is that of "personal responsibility of the auditor." Generally explain what is intended by this principle.

Which of the following best describes the concept of risk assessment on which auditors can provide independent assurance?

Which of the following is not explicitly a part of the IIA's definition of internal auditing?

The primary responsibility for the adequacy of disclosures in the financial statements of a publicly held company rests with the

What organization is responsible for setting auditing standards for audits of publicly-traded companies in the U.S.?

Who bears ultimate responsibility for the financial statements?

The first PCAOB standard of reporting requires that,"the report shall state whether the financial statements are presented in accordance with generally accepted accounting principles." This passage requires

A financial statement audit must be conducted based on GAAP.

Describe the organizations involved in standard setting for auditors in the United States and what their respective roles are in setting current auditing standards for companies in the United States.

The primary audit context with which an auditor is concerned is the client's industry or business.