Test bank complete_
Auditing: a practical approach with data analytics 2nd
edition, (2021)
By raymond n. Johnson, laura d. Wiley, robyn moroney, fiona campbell, jane
hamilton
all chapters 1-16| updated edition with verified answers| rated a+
,chapter 1: introduction and overview of audit and assurance ____________ 3
chapter 2: professionalism and professional responsibilities____________ 64
chapter 3: risk assessment part i: audit risk and audit strategy ________ 145
chapter 4: risk assessment part ii: understanding the client ___________ 224
chapter 5: audit evidence _____________________________________ 274
chapter 6: gaining an understanding of the client's system of internal
controls ___________________________________________________ 329
chapter 7: risk response performing tests of controls ________________ 336
chapter 8: audit data analytics _________________________________ 394
chapter 9: risk response performing substantive procedures __________ 447
chapter 10: risk response: audit sampling for substantive procedures ___ 502
chapter 11: auditing the revenue process _________________________ 549
chapter 12: auditing the purchasing and payroll processes ____________ 580
chapter 13: auditing cash, inventory, and related income statement accounts
_________________________________________________________ 598
chapter 14: auditing investing and financing activities _______________ 656
chapter 15: completing the audit _______________________________ 710
chapter 16: reporting on the audit ______________________________ 724
,Chapter 1: introduction and overview of audit and
assurance
raymond n. Johnson: auditing: a practical approach with data analytics 2nd edition, (2021) test bank
Question type: true or false
1. Gaap and ifrs are examples of applicable financial reporting framework.
A. True
B. False
ANSWER:> a,
Taxonomy: knowledge, difficulty: easy, aicpa fc: reporting, aacsb:
communication, learning objective: lo1.1, solution: the applicable financial
reporting framework refers to the set of standards used in preparing the
historical financial statements, such as gaap, ifrs or a federal income tax basis of
accounting.
2. Review of financial forecasts falls under attestation services.
A. True
B. False
ANSWER:> a,
Taxonomy: knowledge, difficulty: easy, aicpa fc: measurement analysis and
interpretation, aacsb: ethics, learning objective: lo1.1, solution: attestation
services (under the umbrella of assurance services) include review of historical
financial statements, review of financial forecasts, and examination of internal
control.
, 3. Within a u.s. context, the applicable financial reporting framework is typically
generally accepted accounting principles (gaap).
A. True
B. False
ANSWER:> a,
Taxonomy: knowledge, difficulty: easy, aicpa fc: measurement analysis and
interpretation, aacsb: ethics, learning objective: lo1.2, solution: within a u.s.
context, the applicable financial reporting framework is typically generally
accepted accounting principles (gaap).
4. Private companies, or non-issuers, are not required by the u.s. government to
have an annual financial statement audit
A. True
B. False
ANSWER:> a,
Taxonomy: knowledge, difficulty: easy, aicpa fc: reporting, aacsb: analytic,
learning objective: lo1.2, solution: private companies, or non-issuers, are not
required by the
U.s. government to have an annual financial statement audit, but often other
interested users, such as a bank or lender, may request that a private company
provide audited financial statements.
5. One of the reasons there is a demand for financial statement audits is that
users of financial statements often lack accounting and legal knowledge to fully
understand complex accounting and disclosure choices.
A. True
Auditing: a practical approach with data analytics 2nd
edition, (2021)
By raymond n. Johnson, laura d. Wiley, robyn moroney, fiona campbell, jane
hamilton
all chapters 1-16| updated edition with verified answers| rated a+
,chapter 1: introduction and overview of audit and assurance ____________ 3
chapter 2: professionalism and professional responsibilities____________ 64
chapter 3: risk assessment part i: audit risk and audit strategy ________ 145
chapter 4: risk assessment part ii: understanding the client ___________ 224
chapter 5: audit evidence _____________________________________ 274
chapter 6: gaining an understanding of the client's system of internal
controls ___________________________________________________ 329
chapter 7: risk response performing tests of controls ________________ 336
chapter 8: audit data analytics _________________________________ 394
chapter 9: risk response performing substantive procedures __________ 447
chapter 10: risk response: audit sampling for substantive procedures ___ 502
chapter 11: auditing the revenue process _________________________ 549
chapter 12: auditing the purchasing and payroll processes ____________ 580
chapter 13: auditing cash, inventory, and related income statement accounts
_________________________________________________________ 598
chapter 14: auditing investing and financing activities _______________ 656
chapter 15: completing the audit _______________________________ 710
chapter 16: reporting on the audit ______________________________ 724
,Chapter 1: introduction and overview of audit and
assurance
raymond n. Johnson: auditing: a practical approach with data analytics 2nd edition, (2021) test bank
Question type: true or false
1. Gaap and ifrs are examples of applicable financial reporting framework.
A. True
B. False
ANSWER:> a,
Taxonomy: knowledge, difficulty: easy, aicpa fc: reporting, aacsb:
communication, learning objective: lo1.1, solution: the applicable financial
reporting framework refers to the set of standards used in preparing the
historical financial statements, such as gaap, ifrs or a federal income tax basis of
accounting.
2. Review of financial forecasts falls under attestation services.
A. True
B. False
ANSWER:> a,
Taxonomy: knowledge, difficulty: easy, aicpa fc: measurement analysis and
interpretation, aacsb: ethics, learning objective: lo1.1, solution: attestation
services (under the umbrella of assurance services) include review of historical
financial statements, review of financial forecasts, and examination of internal
control.
, 3. Within a u.s. context, the applicable financial reporting framework is typically
generally accepted accounting principles (gaap).
A. True
B. False
ANSWER:> a,
Taxonomy: knowledge, difficulty: easy, aicpa fc: measurement analysis and
interpretation, aacsb: ethics, learning objective: lo1.2, solution: within a u.s.
context, the applicable financial reporting framework is typically generally
accepted accounting principles (gaap).
4. Private companies, or non-issuers, are not required by the u.s. government to
have an annual financial statement audit
A. True
B. False
ANSWER:> a,
Taxonomy: knowledge, difficulty: easy, aicpa fc: reporting, aacsb: analytic,
learning objective: lo1.2, solution: private companies, or non-issuers, are not
required by the
U.s. government to have an annual financial statement audit, but often other
interested users, such as a bank or lender, may request that a private company
provide audited financial statements.
5. One of the reasons there is a demand for financial statement audits is that
users of financial statements often lack accounting and legal knowledge to fully
understand complex accounting and disclosure choices.
A. True
