Edrftgyihu jiuh
ST TU
Auditing
UV V
S
A Risk-Based Approach
Edition
IAIA
11th
?_?_
TEST BANK
AAP
Karla M. Zehms, Audrey A. Gramling, Larry E.
PPPR
Rittenberg
ROOV
Comprehensive Test Bank for Instructors
and Students
VE D
||| ||| || ||| || | || ||| | || ||| |
9781337619455
E
D? ?
© Karla M. Zehms, Audrey A. Gramling & Larry E. Rittenberg. All
rights reserved. Reproduction or distribution without permission is
prohibited.
?
© MEDGEEK
,ST TU
TABLE OF CONTENTS
Test Bank – Auditing: A Risk-Based Approach (11th Edition)
Authors: Karla M. Zehms, Audrey A. Gramling, and Larry E. Rittenberg
UV V
S
ISBN: 9781337619455
PART I: THE AUDITING PROFESSION AND THE RISK OF FRAUD
Chapter 1: Quality Auditing: Why It Matters
Chapter 2: The Auditor’s Responsibilities Regarding Fraud and Mechanisms to Address Fraud
Chapter 3: Internal Control Over Financial Reporting
IAIA
Chapter 4: Professional Legal Liability
PART II: THE AUDIT PROCESS AND MATERIALITY
?_?_
Chapter 5: Professional Auditing Standards and the Audit Opinion Formulation Process
Chapter 6: Audit Evidence
Chapter 7: Planning the Audit: Identifying, Assessing, and Responding to the Risk of Material
Misstatement
Chapter 8: Specialized Audit Tools: Attributes Sampling, Monetary Unit Sampling, and Data Analytics
Tools
AAP
PART III: AUDITING BUSINESS CYCLES
Chapter 9: Auditing the Revenue Cycle
Chapter 10: Auditing Cash, Marketable Securities, and Complex Financial Instruments
PPPR
Chapter 11: Auditing Inventory, Goods and Services, and Accounts Payable
Chapter 12: Auditing Long-Lived Assets and Merger and Acquisition Activity
Chapter 13: Auditing Debt, Equity, and Long-Term Liabilities
PART IV: COMPLETING THE AUDIT AND REPORTING
ROOV
Chapter 14: Completing a Quality Audit
Chapter 15: Audit Reports for Financial Statement Audits
VE D
E
D? ?
?
, Chapter 1 - Auditing: Integral to the Economy
ST TU
1. The need for assurance services arises because the interests of the users of information may be different from
that of the interests of those responsible for providing information.
a. True
b. False
UV V
ANSWER: True
S
POINTS: 1
NATIONAL STANDARDS: United States - BUSPORG: Analytic
STATE STANDARDS: United States - AK - AICPA BB-Critical thinking
TOPICS: Demand for Assurances
IAIA
2. A financial statement audit is a systematic process of objectively obtaining and evaluating evidence.
a. True
b. False
ANSWER: True
?_?_
POINTS: 1
NATIONAL STANDARDS: United States - BUSPORG: Analytic
STATE STANDARDS: United States - AK - AICPA BB-Critical thinking
TOPICS: Auditing Defined
AAP
3. Auditors should conduct their work with an attitude of professional skepticism.
a. True
b. False
ANSWER: True
PPPR
POINTS: 1
NATIONAL STANDARDS: United States - BUSPORG: Analytic
STATE STANDARDS: United States - AK - AICPA BB-Critical thinking
TOPICS: Auditing Defined
ROOV
4. A bank using Milton Company's financial statements to determine the creditworthiness of a potential loan to
Milton is a good example of the need for unbiased reporting.
a. True
b. False
VE D
ANSWER: True
POINTS: 1
NATIONAL STANDARDS: United States - BUSPORG: Analytic
E
STATE STANDARDS: United States - AK - AICPA BB-Critical thinking
D? ?
TOPICS: Auditing Defined
5. An integrated audit requires the auditor to assess the effectiveness of internal controls.
a. True
b. False
?
ANSWER: True
Cengage Learning Testing, Powered by Cognero Page 1
, Chapter 1 - Auditing: Integral to the Economy
ST TU POINTS: 1
NATIONAL STANDARDS: United States - BUSPORG: Analytic
STATE STANDARDS: United States - AK - AICPA BB-Critical thinking
TOPICS: Auditing Defined
UV V
S
6. In all states, a CPA must have completed at least 150 hours of college semester hours to receive their license.
a. True
b. False
ANSWER: False
POINTS: 1
IAIA
NATIONAL STANDARDS: United States - BUSPORG: Analytic
STATE STANDARDS: United States - AK - AICPA BB-Critical thinking
TOPICS: Professional and Regulatory Organizations
?_?_
7. The Center for Audit Quality was started by the International Federation of Accountants.
a. True
b. False
ANSWER: False
AAP
POINTS: 1
NATIONAL STANDARDS: United States - BUSPORG: Analytic
STATE STANDARDS: United States - AK - AICPA BB-Critical thinking
TOPICS: Professional and Regulatory Organizations
PPPR
8. The Center for Audit Quality has the primary authority to set auditing standards.
a. True
b. False
ANSWER: False
ROOV
POINTS: 1
NATIONAL STANDARDS: United States - BUSPORG: Analytic
STATE STANDARDS: United States - AK - AICPA BB-Critical thinking
TOPICS: Professional and Regulatory Organizations
VE D
9. In an audit, management is considered the “client”.
a. True
b. False
E
ANSWER: False
D? ?
POINTS: 1
NATIONAL STANDARDS: United States - BUSPORG: Analytic
STATE STANDARDS: United States - AK - AICPA BB-Critical thinking
TOPICS: Auditing Defined
?
10. Auditing is the process of attesting to assertions about economic actions and events.
Cengage Learning Testing, Powered by Cognero Page 2
ST TU
Auditing
UV V
S
A Risk-Based Approach
Edition
IAIA
11th
?_?_
TEST BANK
AAP
Karla M. Zehms, Audrey A. Gramling, Larry E.
PPPR
Rittenberg
ROOV
Comprehensive Test Bank for Instructors
and Students
VE D
||| ||| || ||| || | || ||| | || ||| |
9781337619455
E
D? ?
© Karla M. Zehms, Audrey A. Gramling & Larry E. Rittenberg. All
rights reserved. Reproduction or distribution without permission is
prohibited.
?
© MEDGEEK
,ST TU
TABLE OF CONTENTS
Test Bank – Auditing: A Risk-Based Approach (11th Edition)
Authors: Karla M. Zehms, Audrey A. Gramling, and Larry E. Rittenberg
UV V
S
ISBN: 9781337619455
PART I: THE AUDITING PROFESSION AND THE RISK OF FRAUD
Chapter 1: Quality Auditing: Why It Matters
Chapter 2: The Auditor’s Responsibilities Regarding Fraud and Mechanisms to Address Fraud
Chapter 3: Internal Control Over Financial Reporting
IAIA
Chapter 4: Professional Legal Liability
PART II: THE AUDIT PROCESS AND MATERIALITY
?_?_
Chapter 5: Professional Auditing Standards and the Audit Opinion Formulation Process
Chapter 6: Audit Evidence
Chapter 7: Planning the Audit: Identifying, Assessing, and Responding to the Risk of Material
Misstatement
Chapter 8: Specialized Audit Tools: Attributes Sampling, Monetary Unit Sampling, and Data Analytics
Tools
AAP
PART III: AUDITING BUSINESS CYCLES
Chapter 9: Auditing the Revenue Cycle
Chapter 10: Auditing Cash, Marketable Securities, and Complex Financial Instruments
PPPR
Chapter 11: Auditing Inventory, Goods and Services, and Accounts Payable
Chapter 12: Auditing Long-Lived Assets and Merger and Acquisition Activity
Chapter 13: Auditing Debt, Equity, and Long-Term Liabilities
PART IV: COMPLETING THE AUDIT AND REPORTING
ROOV
Chapter 14: Completing a Quality Audit
Chapter 15: Audit Reports for Financial Statement Audits
VE D
E
D? ?
?
, Chapter 1 - Auditing: Integral to the Economy
ST TU
1. The need for assurance services arises because the interests of the users of information may be different from
that of the interests of those responsible for providing information.
a. True
b. False
UV V
ANSWER: True
S
POINTS: 1
NATIONAL STANDARDS: United States - BUSPORG: Analytic
STATE STANDARDS: United States - AK - AICPA BB-Critical thinking
TOPICS: Demand for Assurances
IAIA
2. A financial statement audit is a systematic process of objectively obtaining and evaluating evidence.
a. True
b. False
ANSWER: True
?_?_
POINTS: 1
NATIONAL STANDARDS: United States - BUSPORG: Analytic
STATE STANDARDS: United States - AK - AICPA BB-Critical thinking
TOPICS: Auditing Defined
AAP
3. Auditors should conduct their work with an attitude of professional skepticism.
a. True
b. False
ANSWER: True
PPPR
POINTS: 1
NATIONAL STANDARDS: United States - BUSPORG: Analytic
STATE STANDARDS: United States - AK - AICPA BB-Critical thinking
TOPICS: Auditing Defined
ROOV
4. A bank using Milton Company's financial statements to determine the creditworthiness of a potential loan to
Milton is a good example of the need for unbiased reporting.
a. True
b. False
VE D
ANSWER: True
POINTS: 1
NATIONAL STANDARDS: United States - BUSPORG: Analytic
E
STATE STANDARDS: United States - AK - AICPA BB-Critical thinking
D? ?
TOPICS: Auditing Defined
5. An integrated audit requires the auditor to assess the effectiveness of internal controls.
a. True
b. False
?
ANSWER: True
Cengage Learning Testing, Powered by Cognero Page 1
, Chapter 1 - Auditing: Integral to the Economy
ST TU POINTS: 1
NATIONAL STANDARDS: United States - BUSPORG: Analytic
STATE STANDARDS: United States - AK - AICPA BB-Critical thinking
TOPICS: Auditing Defined
UV V
S
6. In all states, a CPA must have completed at least 150 hours of college semester hours to receive their license.
a. True
b. False
ANSWER: False
POINTS: 1
IAIA
NATIONAL STANDARDS: United States - BUSPORG: Analytic
STATE STANDARDS: United States - AK - AICPA BB-Critical thinking
TOPICS: Professional and Regulatory Organizations
?_?_
7. The Center for Audit Quality was started by the International Federation of Accountants.
a. True
b. False
ANSWER: False
AAP
POINTS: 1
NATIONAL STANDARDS: United States - BUSPORG: Analytic
STATE STANDARDS: United States - AK - AICPA BB-Critical thinking
TOPICS: Professional and Regulatory Organizations
PPPR
8. The Center for Audit Quality has the primary authority to set auditing standards.
a. True
b. False
ANSWER: False
ROOV
POINTS: 1
NATIONAL STANDARDS: United States - BUSPORG: Analytic
STATE STANDARDS: United States - AK - AICPA BB-Critical thinking
TOPICS: Professional and Regulatory Organizations
VE D
9. In an audit, management is considered the “client”.
a. True
b. False
E
ANSWER: False
D? ?
POINTS: 1
NATIONAL STANDARDS: United States - BUSPORG: Analytic
STATE STANDARDS: United States - AK - AICPA BB-Critical thinking
TOPICS: Auditing Defined
?
10. Auditing is the process of attesting to assertions about economic actions and events.
Cengage Learning Testing, Powered by Cognero Page 2
