ACC492 Full Course and Final
Exam
Click Link Below To Buy:
Contact Us:
Hwcoursehelp@gmail.com
ACC 492 Week 1
Individual Text Book Assignment
ACC 492 Week 2
Individual Assignment
ACC 492 Week 2
Learning Team Assignment
ACC 492 Week 3
Individual Textbook Assignment
ACC 492 Week 3
Learning Team Assignment
Acc 492 Week 3
textbook assignment
ACC 492 Week 4
Individual Assignment Case Study – Auditing Cases, Case 8.1
ACC 492 Week 4
Individual Textbook Assignment
ACC 492 Week 4
Learning Team Assignments from the Text
ACC 492 Week 5
Individual Assignment Issuing Audit Reports Simulation
ACC 492 Week 5 Individual
Textbook Assignment
ACC 492 Final Exam
1) The bonding of employees
will normally be expected to:
A. “weed
out” dishonest employees already hired.
B. serve
as a deterrent to dishonesty.
C.
guarantee that all employee fraud will be prevented.
D.
eliminate the need for separation of duties in the cash receipts area.
2) All sales, cash receipts,
and sales adjustments are accurately valued using GAPP and correctly
journalized, summarized, and posted. These actions are transaction objectives
for:
A.
occurance
B. cutoff
C.
accurancy
D.
completeness
3) Disclosure objectives
include all of the following EXCEPT:
A.
occurrence and rights and obligations
B.
classification and understandability
C.
completeness
D. cutoff
4) The extent of the auditor’s
inventory test count would LEAST depend on which of the following?
A. The
nature and composition of the inventory.
B. The
existence of inventory at multiple locations.
C. The
effectiveness of controls pertaining to maintenance of perpetual records.
D. The
care exercised by client employees in taking the inventory.
5) When statistical sampling
methods are used by the client in determining inventories, professional
standards require that the auditor ascertain the following EXCEPT that the:
A.
sampling plan has statistical validity.
B.
appropriate tests of transactions have been applied.
C. results
in terms of reliability are reasonable.
D.
sampling plan has been properly applied.
6) The auditor’s strategy in
performing test counts during the inventory observation is to:
A.
concentrate tests on high dollar items and take a representative sample of
other items.
B.
concentrate tests in areas where employees seem to be disregarding the
inventory instructions.
C.
randomly select all test items.
D. test
all high dollar items.
7) Observation of inventories
is a required audit procedure whenever:
A.
inventories are material.
B. the
auditor considers it to be necessary.
C. it is
practicable and reasonable.
D.
inventories are material and it is practicable and reasonable.
8) With a manufacturer,
wholesaler, or retailer, however, inherent risk for inventory may be assessed
at or near the maximum level for all of the following reasons EXCEPT:
A.
inventories are often stored at multiple sites, adding to the difficulties
associated with maintaining physical controls over theft and damages, and
properly accounting for goods in transit between sites.
B. the
volume of purchases, manufacturing, and sales transactions that affects these
accounts is generally high, decreasing the opportunities for misstatements to
occur.
C.
inventories are vulnerable to spoilage, obsolescence, and other factors such as
general economic conditions that may affect demand and salability, and thus the
proper valuation of the inventories.
D. the
wide diversity of inventory items may present special problems in determining
their quality and market value.
9) During the observation of
the inventory, the auditor has NO responsibility to:
A. observe
the taking of the inventory by client personnel.
B. make
inquiries of the client concerning the inventories.
C.
supervise the taking of the inventory.
D. make
some test counts of inventory quantities.
10) The specific audit
objective that all purchase transactions and cash disbursements are valued
using GAAP and correctly journalized, summarized, and posted relates to:
A. rights
and obligations.
B.
completeness.
C.
valuation or allocation.
D.
existence or occurrence.
11) The specific audit
objective that recorded purchases represent goods, services, and productive
assets received during the period relates to:
A. rights
and obligations.
B.
completeness.
C.
presentation and disclosure.
D.
existence or occurrence.
12) The specific audit
objective that all purchases and cash disbursements made during the period were
recorded relates to:
A. rights
and obligations.
B.
completeness.
C.
presentation and disclosure.
D.
existence or occurrence.
13) The specific audit
objective for the audit of investments, investment balances are properly
identified and classified in the financial statements, relates to the:
A.
existence or occurrence assertion.
B.
completeness assertion.
C.
presentation or disclosure assertion.
D. rights
and obligations assertion.
14) The specific audit
objective for the audit of investments, all recorded investments are owned by
the reporting entity, relates to the:
A.
existence or occurrence assertion.
B.
completeness assertion.
C.
valuation or allocation assertion.
D. rights
and obligations assertion.
15) The specific audit
objective for the audit of investments, all investments are included in the
balance sheet investment accounts, relates to the:
A.
existence or occurrence assertion.
B.
completeness assertion.
C.
valuation or allocation assertion.
D. rights
and obligations assertion.
16) The specific account
balance audit objective, plant assets and related expenses are properly
identified and classified in the financial statements, relates to the:
A. rights
and obligations assertion.
B.
completeness assertion.
C.
presentation or disclosure assertion.
D.
existence or occurrence assertion.
17) The audit significance of
the financial ratio, fixed asset turnover, is:
A. this
financial ratio provides a reasonableness test of the entity’s proportion of
equity that may be compared with prior years’ experience or industry data.
B. an
unexpected increase or decrease in the depreciation expense as a percent of
depreciable assets may indicate an error in calculating depreciation.
C. this
financial ratio provides a test of the entity’s ability to generate earnings to
cover the cost of service debt.
D. an
unexpected increase in this financial ratio may indicate the failure to record
or capitalize depreciable assets.
18) The substantive test of
calculating fixed asset turnover is categorized under:
A. initial
procedures.
B.
analytical procedures.
C. tests
of details of balances.
D. tests
of details of transactions.
19) In confirming bank
deposits, the auditor need NOT:
A. send
two copies of the standard confirmation to the bank.
B. send
requests for accounts with zero balances at the end of the year.
C.
personally mail the requests.
D. have
the bank return the original to the client.
20) The standard bank
confirmation, developed jointly by the AICPA, the American Bankers Association,
and the Bank Administration Institute, requests information about all of the
following EXCEPT:
A. loan
interest rates.
B. loan
balances.
C. deposit
balances.
D.
secondary endorsements.
21) The control of all funds
during the count of cash on hand is meant primarily to prevent:
A. any
chance of double counting.
B.
unauthorized disbursements.
C.
transfers by the client.
D. client
personnel from viewing the count procedure.
22) Whether the entity
maintains effective controls to provide reasonable assurance that private
customer information obtained as a result of e-commerce is protected from uses
not related to the entity’s business defines:
A.
information protection.
B. risk
assessment.
C.
transaction integrity.
D.
performance measurement.
23) Best practices in
approaching risk management include the following steps EXCEPT:
A.
calculate revenue losses from risks.
B. analyze
and assess risks.
C.
identify risks.
D. design
strategies for managing risk.
24) In performing an attest
engagement, a CPA performs all of the following EXCEPT:
A. gathers
evidence to support the assertions.
B.
objectively assesses the measurements of assertions.
C. relies
on management statements.
D.
objectively assesses the communications of the individual making the
assertions.
25) Which of the following is
NOT among the characteristics of the procedures performed in completing the
audit?
A. They
involve many subjective judgments by the auditor.
B. They
are performed after the balance sheet date.
C. They
are optional since they have only an indirect impact on the opinion to be
expressed.
D. They
are usually performed by audit managers or other senior members of the audit
team who have extensive audit experience with the client.
26) The auditor relies on the
client representation letter to:
A.
document the continuing materiality of client representations.
B.
guarantee the absence of management fraud.
C. confirm
written representations given to the auditor.
D. reduce
the possibility of misunderstanding concerning management’s representations.
27) In performing an attest
engagement, a CPA performs all of the following EXCEPT:
A. gathers
evidence to support the assertions.
B.
objectively assesses the measurements of assertions.
C. relies
on management statements.
D.
objectively assesses the communications of the individual making the
assertions.
28) Which of the following is
NOT among the specific auditing procedures the auditor performs to obtain
additional audit evidence?
A. reading
minutes of meetings
B.
reviewing evidence concerning litigation, claims, and assessments
C. making
subsequent events review
D.
obtaining client representation letter
29) In regard to identifying
and evaluating subsequent events, AU 560.12 specifies that the auditor inquires
of management having responsibility for financial and accounting matters as to
all of the following EXCEPT:
A. any
significant changes in capital stock, long-term debt, or working capital to the
date of inquiry.
B. the
minutes of meetings of directors, stockholders, and other appropriate
committees.
C. any
substantial contingent liabilities or commitments existing at the balance sheet
date or date of inquiry.
D. the
current status of items previously accounted for on the basis of tentative,
preliminary, or inconclusive data.
30) When an investigation of
the discovery of facts existing at the report date confirms the existence of
the fact and the auditor believes the information is important to those relying
or likely to rely on the financial statements, the auditor should immediately:
A. notify
the SEC or other regulatory agency.
B. notify
the audit committee.
C. take
steps to prevent future reliance on the audit report.
D. resign
from the engagement.
31) The two main sections of
the AICPA’s Code of Professional Conduct are:
A. Rules
of Conduct and Interpretations of the Rules of Conduct.
B.
Principles and Ethics Rulings.
C.
Principles and Rules of Conduct.
D.
Interpretations of the Rules of Conduct and Ethics Rulings.
32) In general, except when
explicitly stated otherwise, the Rules of Conduct in the AICPA’s Code of
Professional Conduct are applicable to:
A. all
professional services.
B. all
members and all professional services.
C. all
members.
D. all
members in public practice.
33) Which one of the following
is NOT true of the Principles in the AICPA’s Code of Professional Conduct?
A. They
are set forth as enforceable standards.
B. They
are expressions of ideals of professional conduct.
C. They
provide a framework for the Rules.
D. They
express the basic tenets of ethical conduct.
34) Gross negligence can best
be defined as:
A.
misrepresentation.
B.
criminal fraud.
C. failure
to exercise due care.
D. failure
to exercise even slight care.
35) Anyone identified to the
auditor by name prior to the audit who is to be the principal recipient of the
auditor’s report is a
A.
foreseen beneficiary.
B.
foreseeable party.
C. third
party.
D. primary
beneficiary.
36) The Fund of Funds case
illustrated that auditors could be found liable for failure to report
wrong-doings discovered:
A. on any
type of engagement for a particular client.
B. even on
engagements for other clients.
C. only on
audit engagements for a particular client.
D. only on
special fraud audits conducted under separate contract.
No comments:
Post a Comment