TEST BANK FOR Principles of Auditing & Other Assurance Services by Ray Whittington , Kurt Pany ISBN: ‎ 978-1260598087 ALL CHAPTERS COVERED YOUR ULTIMATE GUIDE 100% VERIFIED A+ GRADE ASSURED!!!!!!! NEW LATEST UPDATE!!!!!!!

Test Bank for Principles of Auditing and Other Assurance Servi
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ces 22nd Edition by Ray Whittington, Kurt Pany
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Version1 1

,Full Test Bank for Principles of Auditing and Other Assurance Services 22nd Edition b
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y Ray Whittington, Kurt Pany
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Answers are at the end of each chapter C
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hapter 1 nhfdxkl




Studentname:_
1) Accountantsarelregulatedbyanhfdxklvarietyoforganizations.nhfdxklMatchthenhfdxklstatementswitht
hemosn h f d x k l tnhfdxkldirectlyrelatednhfdxklorganization:
● AccountinglandnhfdxklReviewnhfdxklServiceslCommittee.
● AmericannhfdxklInstituteofCertifiednhfdxklPubliclAccountants.
● AuditinglStandardsnhfdxklBoard.
● FederalAccountingnhfdxklStandardsnhfdxklAdvisoryBoard.
● FinancialAccountingnhfdxklStandardsnhfdxkB l oard.

● GeneralAccountingnhfdxklOffice.
● GovernmentlAccountingnhfdxklStandardslBoard.
● PublicnhfdxklCompanynhfdxklAccountingnhfdxklOversightnhfdxklBoard.
● SecuritiesandnhfdxklExchangeCommission.
● StatenhfdxkB
l oardslofnhfdxkA
l ccountancy.

Organizationsmaybeusedonce, nhfdxklmorethanonce,ornotnhfdxklatnhfdxklall.
Statements Organizations
A.Dl evelopsa
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f
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h
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d
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l tandards
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forp l ublicn
n
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f
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k n
l onpubliccnhfdxklompanie
h
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s.
B.nD
l evelopsn
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f
d
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l tandardsfnhfdx
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k

klornhfdxklthenhfdxklU.S.nhfdxklGovernment.


C.nI
l mprovesn
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l inancialacnhfdx
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klcountingnhfdxklfornhfdxklstatenhfdxklandnhfdxkllocal

governmentne l ntities.
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D.nI
l ssuesx
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publicnc l ompanies.
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E.nI
l ssuesn
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F.P
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Organizations:nhfdxklAmericannhfdxklInstitutenhfdxklofnhfdxklCertifiednhfdxklPublicnhfdxklAccountants,nhfdxklFederalnhfdxklAcco
untingnhfdxklStandardnhfdxklsnhfdxklAdvisorynhfdxklBoard,nhfdxklFinancialnhfdxklAccountingnhfdxklStandardsnhfdxklBoard,nhfdxklG
overnmentnhfdxklAccountingnhfdxklStandardsnhfdxklBoanhfdxklrd,nhfdxklPublicnhfdxklCompanynhfdxklAccountingnhfdxklOversightlB
oard,nhfdxklStateBoardsofAccountancy.




Version1 2

,2) TheSarbanes-
OxleynhfdxkA
l ctlof2002nhfdxklmadesignificantlreformsnhfdxklforpubliccompanieslandtheirauditors.


a. DescribetheeventsthatnhfdxkllednhfdxklupltothepassagelofthenhfdxklAct.
b. DescribelthenhfdxklmajorchangesnhfdxklmadelbythenhfdxklAct.




3) Manypeopleconfuselthelresponsibilitieslofthelindependentauditorsandtheclient'smanhfdxkl
nagementnhfdxklwithrespectnhfdxkltonhfdxklauditedlfinancialstatements.
a. Describenhfdxklmanagement'sresponsibilityregardinglauditedfinancialstatements.
b. Describelthenhfdxkl independentn h f d x k l auditors'responsibilityregardingauditedn h f d x k l financialstatements.
c. Evaluatelthelfollowingnhfdxklstatement:"Iftheauditorsdisagreewithmanagementregardingnhfdxkla
naccnhfdxklountingprincipleusednhfdxklinthenhfdxklfinancialstatements,thelauditorsshouldexpressltheirnhfdxkl
viewsnhfdxklinthenotenhfdxklstonhfdxklthelfinancialstatements."


4) Annhfdxklinvestorisconsideringinvestinginoneloftwocompanies.nhfdxklThecompanieshaveverysi
miln h f d x k l arnhfdxklreportedfinancialpositionlandnhfdxklresultsofoperations.nhfdxklHowever,nhfdxklonlyoneofthelco
mpanieshasnhfdxklitsnhfdxklfinnhfdxklancialstatementsaudited.
a. Describelwhatnhfdxklcreatestheldemandnhfdxklfornhfdxklanauditnhfdxklinthisnhfdxklsituation.nhfdxklIncludeadiscussiono
fhowauditnhfdxkledlfinancialnhfdxklstatementsfacilitatenhfdxklthisinvestmenttransaction,nhfdxklandtheeffectlof
theauditlonbusinessrnhfdxklisknhfdxklandnhfdxklinformationrisk.
b. Identifythelpotentialconsequencestothecompanyofnotlhavingnhfdxklitslfinancialstatementsaud
inhfdxklted.

5) Asummaryoffindingsrathernhfdxklthanlassurancenhfdxklisnhfdxklmostllikelytolbelincludednhfdxklina(n):

A) Agreed-uponprocedureslreport.
B) Compilationreport.
C) Auditlreport.
D) Reviewreport.




Version1 3

, 6) ThenhfdxklStatementsonAuditingnhfdxklStandardshavebeennhfdxklissuednhfdxklbythe:

A) AuditinglStandardsnhfdxklBoard.
B) FinanciallAccountinglStandardsnhfdxklBoard.
C) SecuritiesandlExchangenhfdxkC
l ommission.


D) FederalBureaunhfdxklofInvestigation.




7) Theriskthatalcompany’sfinancialstatementslwillmateriallydepartlfromgenerallyaccn h


f d x k l eptednhfdxklaccountingnhfdxklprinciplesnhfdxklisnhfdxklreferrednhfdxkltonhfdxklas:

A) BusinesslRisk.
B) InformationRisk.
C) DetectionRisk.
D) DocumentnhfdxklRisk.




8) Historically,nhfdxklwhichofthenhfdxklfollowingnhfdxklhasthelAICPAbeenlmostnhfdxklconcernednhfdxklwit
hpronhfdxklviding?

A) Auditinglstandards.
B) Professionalguidancelforregulatinglfinancialmarkets.
C) Internalauditingnhfdxklstandards.
D) StaffsupporttonhfdxklCongress.




9) Theorganizationchargedwithprotectingnhfdxklinvestorsandthepublicbyrequiringnhfdxklfull
disnhfdxklclosureoffinancialinformationbycompaniesofferingsecuritiestothepublicnhfdxklisnhfdxklthe:

A) AuditinglStandardsnhfdxklBoard.
B) FinanciallAccountinglStandardsnhfdxklBoard.
C) GovernmentnhfdxklAccountinglStandardsBoards.
D) SecuritiesandExchangenhfdxklCommission.



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