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AUDIT CPA FINAL EXAM LATEST 2025 ACTUAL EXAM WITH
COMPLETE QUESTIONS AND CORRECT DETAILED ANSWERS (100%
VERIFIED ANSWERS) |ALREADY GRADED A+| ||PROFESSOR
VERIFIED|| ||BRANDNEW!!!||
1. Independence is not required for this service. - ANSWER-
Consulting. Independence is not required to provide consulting
services. Independence is required by attestation standards and
is included in the definition of assurance services.
2. This service results in a written conclusion about subject
matter. - ANSWER-Attestation. Attestation results in a written
conclusion about subject matter or a written assertion of another
party. Its objective is to provide reliable information.
3. This service improves the quality of information, or its context,
for decision makers. - ANSWER-Assurance and advisory.
Assurance and advisory services provide better information for
decision makers, which leads to better decision making.
4. This service provides recommendations based on the
objectives of the engagement. - ANSWER-Consulting. Consulting
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services provide recommendations based on the objectives of the
engagement. The goal is to provide better outcomes.
5. This service provides for a level of assurance based on an
examination. - ANSWER-Attestation. Attestation services can
provide assurance based on an examination, a review, or the
results of agreed-upon procedures.
1. Requires accounting firms to appropriately consider the risk of
providing services - ANSWER-SQCSs. Statements on Quality
Control Standards list six elements of a quality control system.
The third element, acceptance and continuance of client
relationships and specific engagements, requires firms to
appropriately consider the risk of performing services.
2. Issued by the AICPA to set guidelines for performing a
compilation - ANSWER-SSARS. Statements on Standards for
Accounting and Review Services apply to compilations.
3. Mandates that a second partner review and approve audit
reports - ANSWER-SOX. Sarbanes-Oxley was created, in part, to
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improve the quality control of audits. One of its provisions is to
require a second review and approval by another partner in the
auditing firm.
4. Defines the process of undertaking an audit engagement for
nonissuers - ANSWER-GAAS. GAAS (SASs) are issued by the
ASB, the senior technical committee of the AICPA designated to
issue standards on auditing matters for nonissuers. The
Compliance with Standards Rule of the Code of Professional
Conduct requires an AICPA member who audits a nonissuer to
comply with GAAS.
5. Requires the accountant to have reason to believe that the
assertion is measurable in terms that are suitable to the users of
the assertion - ANSWER-SSAEs. A practitioner must have reason
to believe that the subject matter is capable of evaluation against
criteria that are suitable and available to users.
6. Describes six elements the CPA firms must consider -
ANSWER-SQCSs. Statements on Quality Control Standards list
six elements of a quality control system.
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7. Defines audit requirements for issuers
8. The accountant makes recommendations based on t-
ANSWER-SOX. Sarbanes-Oxley is federal legislation that
requires issuers to be audited by registered public accountants.
he objectives of the engagement - ANSWER-SSCSs. Statements
on Standards for Consulting Services describe responsibilities of
a practitioner who develops findings, conclusions, and
recommendations based solely on the agreement with the client.
The work ordinarily is only for the use and benefit of the client.
9. Issued by the AICPA to set guidelines to offer limited assurance
on historical financial statements - ANSWER-SSARS. Statements
on Standards for Accounting and Review Services apply to
reviews of historical financial statements. Reviews offer limited
assurance.
10. The subject of the AICPA's clarity project for audits -
ANSWER-GAAS. A new Codification of Statements on Auditing
Standards was adopted to clarify GAAS.
AUDIT CPA FINAL EXAM LATEST 2025 ACTUAL EXAM WITH
COMPLETE QUESTIONS AND CORRECT DETAILED ANSWERS (100%
VERIFIED ANSWERS) |ALREADY GRADED A+| ||PROFESSOR
VERIFIED|| ||BRANDNEW!!!||
1. Independence is not required for this service. - ANSWER-
Consulting. Independence is not required to provide consulting
services. Independence is required by attestation standards and
is included in the definition of assurance services.
2. This service results in a written conclusion about subject
matter. - ANSWER-Attestation. Attestation results in a written
conclusion about subject matter or a written assertion of another
party. Its objective is to provide reliable information.
3. This service improves the quality of information, or its context,
for decision makers. - ANSWER-Assurance and advisory.
Assurance and advisory services provide better information for
decision makers, which leads to better decision making.
4. This service provides recommendations based on the
objectives of the engagement. - ANSWER-Consulting. Consulting
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services provide recommendations based on the objectives of the
engagement. The goal is to provide better outcomes.
5. This service provides for a level of assurance based on an
examination. - ANSWER-Attestation. Attestation services can
provide assurance based on an examination, a review, or the
results of agreed-upon procedures.
1. Requires accounting firms to appropriately consider the risk of
providing services - ANSWER-SQCSs. Statements on Quality
Control Standards list six elements of a quality control system.
The third element, acceptance and continuance of client
relationships and specific engagements, requires firms to
appropriately consider the risk of performing services.
2. Issued by the AICPA to set guidelines for performing a
compilation - ANSWER-SSARS. Statements on Standards for
Accounting and Review Services apply to compilations.
3. Mandates that a second partner review and approve audit
reports - ANSWER-SOX. Sarbanes-Oxley was created, in part, to
,3|Page
improve the quality control of audits. One of its provisions is to
require a second review and approval by another partner in the
auditing firm.
4. Defines the process of undertaking an audit engagement for
nonissuers - ANSWER-GAAS. GAAS (SASs) are issued by the
ASB, the senior technical committee of the AICPA designated to
issue standards on auditing matters for nonissuers. The
Compliance with Standards Rule of the Code of Professional
Conduct requires an AICPA member who audits a nonissuer to
comply with GAAS.
5. Requires the accountant to have reason to believe that the
assertion is measurable in terms that are suitable to the users of
the assertion - ANSWER-SSAEs. A practitioner must have reason
to believe that the subject matter is capable of evaluation against
criteria that are suitable and available to users.
6. Describes six elements the CPA firms must consider -
ANSWER-SQCSs. Statements on Quality Control Standards list
six elements of a quality control system.
, 4|Page
7. Defines audit requirements for issuers
8. The accountant makes recommendations based on t-
ANSWER-SOX. Sarbanes-Oxley is federal legislation that
requires issuers to be audited by registered public accountants.
he objectives of the engagement - ANSWER-SSCSs. Statements
on Standards for Consulting Services describe responsibilities of
a practitioner who develops findings, conclusions, and
recommendations based solely on the agreement with the client.
The work ordinarily is only for the use and benefit of the client.
9. Issued by the AICPA to set guidelines to offer limited assurance
on historical financial statements - ANSWER-SSARS. Statements
on Standards for Accounting and Review Services apply to
reviews of historical financial statements. Reviews offer limited
assurance.
10. The subject of the AICPA's clarity project for audits -
ANSWER-GAAS. A new Codification of Statements on Auditing
Standards was adopted to clarify GAAS.
