TEST BANK For Auditing & Assurance Services: A Systematic Approach, 12th Edition By William Messier Jr, Steven Glover, Verified Chapters 1 - 21, Complete Newest Version

TEST BANK For Auditing & Assurance Services: A
Systematic Approach, 12th Edition by Messier

Chapters 1 - 21 Complete

,Chapter 1: An Introductionto Assuranceand Financial Statement Auditing
N N N N N N N N




Chapter 2: The Financial Statement Auditing Environment Chapt
N N N N N N N




er 3: Audit Planning,lTypesofAudit Tests,land Materiality Chapter 4: Ri
N N N N N N N N




sk Assessment
N




Chapter N N N N N N 5: N N N N N N Evidenceand N N N N N N Documentation Chapter N




N N 6: N N Internal N N Controlina N N Financial N N StatementlAudit Chapter 7: A N NN N N




uditing Internal Controlover Financial Reporting Chapter 8: AuditlSampl
N N NN NN N N N N N




ing: An Overviewand Applicationto TestsofControls Chapter 9: AuditlSampling: A
N N N N N N N N




n ApplicationtolSubstantive TestsloflAccount Balances Chapter
N N N N N N N N 10: N N N N N A

uditingthe N N N N Revenue N N N N Process Chapter N N N N N 11: N N N N Auditingth

e N N N N Purchasing N N N N Process Chapter 12: Auditingthe Human Resour
N N NN N N




ce Management Process Chapter 13: Auditingthe Inventory Management Pr
NN NN N N N N N N




ocess

Chapter 14: Auditingthe Financing/Investing Process:lPrepaid Expenses, IntangiblelAssets, and Property,
N N N N N N N N N


Plant,landEquipment N




Chapter 15: Auditingthe Financing/Investing Process:lLong-
N N N N


N Term Liabilities, Stockholders’ Equity, and Income Statement Account
N N N N N N N


s

Chapter 16: Auditingthe Financing/Investing Process:lCashand Investments
N N N N N N




Chapter N N N 17: N N N Completingthe N N N Audit N N N Engagement Chapte N




r
N N 18: N N Reportson N N Audited N N Financial N N Statements Chapter 19: Pr N N N




ofessional Conduct, Independence, and Quality Management Chapter 20: L
N N N N N N N N




egal Liability N

,Chapter 21: Assurance, Attestation, and Internal Auditing Services
N N N N N N N




Auditing& Assurance Services: ASystematic Approach,l12e(Messier) Chapter 1 An Intr
N N N N N N N N N


oductionto Assuranceand Financial Statement Auditing
N N N N




1) Auditingfocusesonrules,ltechniques,andcomputationslrequiredtoprepareandanalyzefinan N N N ci
alinformation.

ANSWER:l FALSElDifficulty: N


1Easy
Topic: TheImportanceforStudying Auditing Le
N N N


arning Objective: 01-
N N


01Understandwhystudyingauditingcanbevaluabletoyouwhetherornotlyouplantolbecomeanaudit N


N or, andwhyitlisdifferentfromstudyingaccounting.
N


Bloom's: Remember AACSB
N N


: Communication
N


AICPA: BBLegal;FNDecisionMaking
N




2) Decisionmakersdemandreliableinformationthatislprovidedbyaccountants.

ANSWER:l TRUEDifficulty: N


1Easy
Topic: The DemandforAuditingand Assurance
N N N N


Learning Objective: 01- N N


02Understandtheldemandforauditingandbeabletolexplainthedesiredcharacteristicsofauditorsa N N N n
dauditserviceslthroughananalogytoahouseinspectorandahouseinspectionservice.
Bloom's: Understand AACS
N N N


B:l Communication
N


AICPA: FNDecision Making;BBIndustry
N N




3) Informationasymmetryseldomoccurs.

ANSWER:l FALSElDifficulty: N


2Medium
Topic: The DemandforAuditingand Assurance
N N N N


Learning Objective: 01- N N


02Understandtheldemandforauditingandbeabletolexplainthedesiredcharacteristicsofauditorsa N N N n
dauditserviceslthroughananalogytoahouselinspectorandahouseinspectionservice.
Bloom's: Apply N


AACSB: Communication N


AICPA: BBIndustry; FNReporting
N N

, 4) Conflictslofinterestoftenoccurbetweenlabsenteeownerslandmanagers.

ANSWER:l TRUEDifficulty: N


2Medium
Topic: The DemandforAuditingand Assurance
N N N N


Learning Objective: 01- N N


02Understandtheldemandforauditingandbeabletolexplainthedesiredcharacteristicsofauditorsa N N N n
dauditserviceslthroughananalogytoahouselinspectorandahouseinspectionservice.
Bloom's: Apply N


AACSB: Communication N


AICPA: BBIndustry; FNReporting
N N




5) Auditingserviceslandattestationserviceslarethelsame.

ANSWER:l FALSElDifficulty: N


1Easy
Topic: Auditing, Attest,andAssurance ServicesDefined LearningO
N N N N


bjective: 01- N


03Understandtherelationshipsamongauditing,lattestation,andassuranceservices. N N N Bl
oom's: Understand AACS N N


B: Communication
N


AICPA: BBIndustry; FNReporting
N N




6) Auditingisatypeofattestservice. N




ANSWER:l TRUEDifficulty: N


1Easy
Topic: Auditing, Attest,landAssurance ServicesDefined LearningO
N N N N


bjective: 01- N


03Understandtherelationshipsamongauditing,lattestation,landassuranceservices.;l01-
N N04Knowthebasicdefinitionofafinancialstatementaudit.
N


Bloom's: Understand AACS N N N


B:l Communication
N


AICPA: BBIndustry; FNReporting
N N




7) Testingalltransactionsthatloccurredduringtheperiodislcostlprohibitive.

ANSWER:l TRUEDifficulty: N


2 Medium Topic: TheAuditP
N N N N


rocess
Learning Objective: 01- N N


N06Beableltoexplainwhyonmostauditengagementsanauditortestslonlyasampleoftransactionsthat N N N N N


occurred.
Bloom's: Apply N


AACSB: Communication N


AICPA: FNDecisionMaking;BBCritical Thinking
N N