Question

1. Which of the following are the established criteria against which management's assertions are judged in an audit? a- Generally Accepted Accounting Principles - Generally Accepted Auditing Standards C- Consistently Reported Accounting Procedures d- Fairness in application of accounting principles 2. Which of the following criteria is unique to the auditors assurance function? a. General competence b- Familiarity with the particular industry of which the client is part C- Due professional care d- Independence 3. Independent auditing can best be described as a- A branch of accounting b. A discipline which attest to the results of accounting and other functional operations and data - A professional activity that measures and communicates financial and business data d- A regulatory function that prevents the issuance of improper financial information 4. Which of the following is not an attest engagement? a- Tax return preparation b- Examination - Review d- Audit 5. Which of the following auditors would most likely perform a financial statement audit? a- Internal auditor b- Government auditor C- Independent auditor e- Compliance auditor 6. If a CPA is found to be grossly negligent in the conduct of an audit, what is the greatest sanction that can be imposed by the AICPA on the CPA? a- Revoke the CPA's license to practice b- Revoke the CPA's membership in the AICPA c. Require minimum continuing education courses d- Invoke monetary penalties 7. Conducting a study of which computer system best fit a client's needs is an example of which type of engagement a- Agreed upon procedures b- An operational audit c. A management consulting service d- A feasibility audit

Answer 1

(1) a

(2) d

(3) b

(4) a

(5)c

(6) a

(7)b

(8) a

(9) a

(10)b

(11)

(12)

(13)a

(14) b