[TEST BANK] AUDITING AND ASSURANCE SERVICES, 16TH EDITION BY ARENS, ELDER, BEASLEY, HOGAN.|| COMPLETE SOLUTION GUIDE A+.

[TEST BANK] x




AUDITING
AND
x




ASSURANCE
x




SERVICES,
x




16TH EDITION
x x




BY ARENS,
x x




ELDER,
x




BEASLEY,
x

,HOGAN
x

,Auditing xand xAssurance xServices, (Arens)
Chapter x1 x x The xDemand xfor xAudit xand xOther xAssurance xServices

Learning xObjective x1-1

1) The xSarbanes-Oxley xAct xapplies xto xwhich xof xthe xfollowing xcompanies?
A) All xcompanies
B) Privately xheld xcompanies
C) Public xcompanies
D) All xpublic xcompanies xand xprivately xheld xcompanies xwith xassets xgreater xthan
x$500 xmillion xAnswer: x C

Terms: x Sarbanes-Oxley xAct
xDiff: x Easy

Objective: x LO x1-1
AACSB: x Reflective xthinking xskills
xTopic: x SOX




2) Which xof xthe xfollowing xis xconsidered xaudit
xevidence? xA)

Oral xstatements Written Auditor
xmade xby xCommunications xObservation

xmanagement

Y N N

B)
Oral xstatements Written Auditor
xmade xby xCommunications xObservation

xmanagement

N Y Y

C)
Oral xstatements Written Auditor
xmade xby x Communications x Observation
xmanagement

Y Y Y

D)
Oral xstatements Written Auditor
xmade xby xCommunications xObservation

xmanagement

N N Y

Answer: x C
Terms: x Audit
xevidence xDiff:


1

, Moderate xObjective:
x

LO x1-1
x

AACSB: x Reflective xthinking xskills




1