Ch 5 - Audit Evidence
During the audit of Transport Trucking, the auditors performed testing to determine
that purchase transactions have been recorded in the correct accounting period.
Which assertion was the auditor most likely addressing? - ANSCutoff
During the audit of Smithfield Muffins, the auditors tested purchase invoices
to determine that invoiced amounts have been recorded appropriately. Which
assertion was the auditor most likely addressing? - ANSAccuracy
During the audit of Thompson Trucking, Corp., the auditors inspected
purchase contracts for several trucks to determine ownership. Which assertion was
the auditor most likely addressing? - ANSRights and Obligations
During the audit of LAX Sticks, auditors found $10,000, which had been
erroneously recorded as miscellaneous expense instead of fixed assets. Which
assertion is most likely affected? - ANSClassification
Noah Piel is auditing the notes payable of Chesterton Bakery. Noah is trying
to ensure he obtains evidence provided by original documents rather than copies.
Which characteristic of audit evidence is Noah concerned with? - ANSReliability
Lucas Roberts is auditing the accounts receivable of Smithway Marina.
Lucas is trying to ensure his audit evidence supports the existence assertion. Which
characteristic of audit evidence is Noah concerned with? - ANSRelevance
Mario Tomasso is auditing the property, plant, and equipment of Bricksburg
Corp. Mario has assessed risk of material misstatement as high. As a result,
detection risk is set at low and the level of audit evidence required is -
ANSIncreased
Luigi Deltorio is auditing the accounts receivable of Bricksburg Corp. Luigi
has assessed the risk of material misstatement as low. As a result, detection risk is
set at high and the level of audit evidence required is - ANSDecreased
If an auditor selects a sales transaction from the journal and examines
underlying source documents, it is considered which of the following? -
ANSVouching
During the audit of Shu Inc., Jeffrey Dobby has assessed the risk of material
misstatement for accounts receivable as low. He has gathered sufficient appropriate
audit evidence that internal controls are effective. The population of accounts
receivable consists of a small number of large account balances. Jeffrey expects a
low exception rate and is not aware of any circumstances that would cause the
During the audit of Transport Trucking, the auditors performed testing to determine
that purchase transactions have been recorded in the correct accounting period.
Which assertion was the auditor most likely addressing? - ANSCutoff
During the audit of Smithfield Muffins, the auditors tested purchase invoices
to determine that invoiced amounts have been recorded appropriately. Which
assertion was the auditor most likely addressing? - ANSAccuracy
During the audit of Thompson Trucking, Corp., the auditors inspected
purchase contracts for several trucks to determine ownership. Which assertion was
the auditor most likely addressing? - ANSRights and Obligations
During the audit of LAX Sticks, auditors found $10,000, which had been
erroneously recorded as miscellaneous expense instead of fixed assets. Which
assertion is most likely affected? - ANSClassification
Noah Piel is auditing the notes payable of Chesterton Bakery. Noah is trying
to ensure he obtains evidence provided by original documents rather than copies.
Which characteristic of audit evidence is Noah concerned with? - ANSReliability
Lucas Roberts is auditing the accounts receivable of Smithway Marina.
Lucas is trying to ensure his audit evidence supports the existence assertion. Which
characteristic of audit evidence is Noah concerned with? - ANSRelevance
Mario Tomasso is auditing the property, plant, and equipment of Bricksburg
Corp. Mario has assessed risk of material misstatement as high. As a result,
detection risk is set at low and the level of audit evidence required is -
ANSIncreased
Luigi Deltorio is auditing the accounts receivable of Bricksburg Corp. Luigi
has assessed the risk of material misstatement as low. As a result, detection risk is
set at high and the level of audit evidence required is - ANSDecreased
If an auditor selects a sales transaction from the journal and examines
underlying source documents, it is considered which of the following? -
ANSVouching
During the audit of Shu Inc., Jeffrey Dobby has assessed the risk of material
misstatement for accounts receivable as low. He has gathered sufficient appropriate
audit evidence that internal controls are effective. The population of accounts
receivable consists of a small number of large account balances. Jeffrey expects a
low exception rate and is not aware of any circumstances that would cause the
