ACCT to 402 EXAM 1
CSUF fully solved &
updated
Business Risk: - answer Risk that an entity will fail to meet its
objectives
Information Risk: - answer Probability that the information
circulated by a company will be false or misleading
Financial Statement Auditing - answer Auditing is a systematic
process of objectively obtaining and evaluating evidence regarding
assertions about economic actions and events to ascertain the
degree of correspondence between the assertions and established
criteria and communicating the results to interested users
attestation engagement: - answer a practitioner assesses and
reports on "subject matter or an assertion about the subject matter
that is the responsibility of another party"
Financial attestation (other than audits) - answer - Financial
forecasts and projections
- Examination of Management Discussion
Non-Financial attestation - answer - Effectiveness of internal control
systems
- Compliance with environmental regulations
- Sustainability reporting
, Assurance Services: - answer Independent professional services
that improve the quality of information, for decision makers
Assurance Service Examples: - answer - XBRL reporting
- Information risk assessment
- Customer Satisfaction surveys
- Fraud and illegal acts prevention
- Cyber risk assessmnet
Sarbanes-Oxley Act of 2002 - answer - Clearly indicates that the
management team is responsible for the financial reporting process
and the financial statements
-Certify the financial statements were read by CFO and CEO
Management Assertions (PCAOB): - answer - Existence or
Occurrence
- Completeness
- Valuation or Allocation
- Rights and Obligations
- Presentation and Disclosure
Existence or Occurrence: - answer Assets and liabilities included in
the accounts exist and recorded transactions are valid
Completeness - answer All balances and transactions have been
recorded in the financial statements
valuation or allocation - answer Assets, liabilities and recorded
transactions have been valued in accordance with GAAP
CSUF fully solved &
updated
Business Risk: - answer Risk that an entity will fail to meet its
objectives
Information Risk: - answer Probability that the information
circulated by a company will be false or misleading
Financial Statement Auditing - answer Auditing is a systematic
process of objectively obtaining and evaluating evidence regarding
assertions about economic actions and events to ascertain the
degree of correspondence between the assertions and established
criteria and communicating the results to interested users
attestation engagement: - answer a practitioner assesses and
reports on "subject matter or an assertion about the subject matter
that is the responsibility of another party"
Financial attestation (other than audits) - answer - Financial
forecasts and projections
- Examination of Management Discussion
Non-Financial attestation - answer - Effectiveness of internal control
systems
- Compliance with environmental regulations
- Sustainability reporting
, Assurance Services: - answer Independent professional services
that improve the quality of information, for decision makers
Assurance Service Examples: - answer - XBRL reporting
- Information risk assessment
- Customer Satisfaction surveys
- Fraud and illegal acts prevention
- Cyber risk assessmnet
Sarbanes-Oxley Act of 2002 - answer - Clearly indicates that the
management team is responsible for the financial reporting process
and the financial statements
-Certify the financial statements were read by CFO and CEO
Management Assertions (PCAOB): - answer - Existence or
Occurrence
- Completeness
- Valuation or Allocation
- Rights and Obligations
- Presentation and Disclosure
Existence or Occurrence: - answer Assets and liabilities included in
the accounts exist and recorded transactions are valid
Completeness - answer All balances and transactions have been
recorded in the financial statements
valuation or allocation - answer Assets, liabilities and recorded
transactions have been valued in accordance with GAAP
