PPROVED_2026??
,TABLE OF CONTENTS
Test Bank: Auditing Assurance Services and Ethics in Australia, 11th
Edition
Authors: Alvin Arens, Chris Kandunias, Peter Best, Greg Shailer, Randal Elder, Mark Beasley,
Chris Hogan
PART 1: The Auditing Profession
Chapter 1. Demand for audit and assurance services
Chapter 2. Auditors' legal environment
Chapter 3. Audit quality and ethics
Chapter 4. Audit responsibilities and objectives
Chapter 5. Audit evidence
PART 2: The Audit Process: Decisions and Planning
Chapter 6. Audit planning and documentation
Chapter 7. Materiality and risk
Chapter 8. Internal control and control risk
Chapter 9. Fraud auditing
Chapter 10. The impact of information technology on the audit process
Chapter 11. Overall audit plan and audit program
Chapter 12. Audit of the sales and collection cycle: Tests of controls and substantive tests of
transactions
PART 3: The Audit Process: Application
Chapter 13. Completing tests in the sales and collection cycle: Accounts receivable
Chapter 14. Audit sampling
Chapter 15. Audit of transaction cycles and financial statement balances I
Chapter 16. Audit of transaction cycles and financial statement balances II
PART 4: The Audit Process: Completing the Audit
Chapter 17. Completing the audit
Chapter 18. Audit reporting
Chapter 19. Other auditing and assurance engagements
PPROVED_2026??
, Arens, Auditing, Assurance Services &
Ethics in Australia 11e
Chapter 1: Demand for audit and assurance services
LO 1.1 Describe assurance services, and distinguish audit services
from other assurance and non-assurance services provided by public
accountants.
True/False questions
Question 1)
The increasing volume of real-time information available online has increased the need for assurance
from historical information at a point in time.
a) True
b) False
Answer: False
Difficulty: 1
Learning Objective: LO 1.1 Describe assurance services, and distinguish audit services from other
assurance and non-assurance services provided by public accountants.
Graduate Attribute: Knowledge
Question 2)
Assurance services are independent professional services that improve the quality of information for
decision makers.
a) True
b) False
Answer: True
Difficulty: 1
Learning Objective: LO 1.1 Describe assurance services, and distinguish audit services from other
assurance and non-assurance services provided by public accountants.
Graduate Attribute: Application of knowledge
PPROVED_2026??
, Question 3)
Attestation service is a type of assurance service in which the public accounting firm issues a written
communication that expresses a conclusion about the reliability of a written assertion of another
party.
a) True
b) False
Answer: True
Difficulty: 1
Learning Objective: LO 1.1 Describe assurance services, and distinguish audit services from other
assurance and non-assurance services provided by public accountants.
Graduate Attribute: Application of knowledge
Multiple choice questions
Question 4)
Which of the following is not a type of attestation service?
a) Review of historical financial statements
b) Assessment of risks of accumulation, distribution and storage of digital information
c) Audit of historical financial statements
d) Other attestation services
Answer: B
Feedback:
a) Incorrect. Review of historical financial statements is indeed a type of attestation service.
b) Correct. Assessment of risks of accumulation, distribution and storage of digital information is
not a type of attestation service. It is an example of other assurance services.
c) Incorrect. Audit of historical financial statements and review of historical financial statements
are types of attestation services.
d) Incorrect. Other attestation services comprise of a category that includes various types of
attestation services.
Difficulty: 2
Learning Objective: LO 1.1 Describe assurance services, and distinguish audit services from other
assurance and non-assurance services provided by public accountants.
Graduate Attribute: Application of knowledge
Question 5)
WebTrust and SysTrust services are related to which of the following?
PPROVED_2026??
a) Information technology assurances
b) Assurances over website controls
c) Assurances about information system reliability
,TABLE OF CONTENTS
Test Bank: Auditing Assurance Services and Ethics in Australia, 11th
Edition
Authors: Alvin Arens, Chris Kandunias, Peter Best, Greg Shailer, Randal Elder, Mark Beasley,
Chris Hogan
PART 1: The Auditing Profession
Chapter 1. Demand for audit and assurance services
Chapter 2. Auditors' legal environment
Chapter 3. Audit quality and ethics
Chapter 4. Audit responsibilities and objectives
Chapter 5. Audit evidence
PART 2: The Audit Process: Decisions and Planning
Chapter 6. Audit planning and documentation
Chapter 7. Materiality and risk
Chapter 8. Internal control and control risk
Chapter 9. Fraud auditing
Chapter 10. The impact of information technology on the audit process
Chapter 11. Overall audit plan and audit program
Chapter 12. Audit of the sales and collection cycle: Tests of controls and substantive tests of
transactions
PART 3: The Audit Process: Application
Chapter 13. Completing tests in the sales and collection cycle: Accounts receivable
Chapter 14. Audit sampling
Chapter 15. Audit of transaction cycles and financial statement balances I
Chapter 16. Audit of transaction cycles and financial statement balances II
PART 4: The Audit Process: Completing the Audit
Chapter 17. Completing the audit
Chapter 18. Audit reporting
Chapter 19. Other auditing and assurance engagements
PPROVED_2026??
, Arens, Auditing, Assurance Services &
Ethics in Australia 11e
Chapter 1: Demand for audit and assurance services
LO 1.1 Describe assurance services, and distinguish audit services
from other assurance and non-assurance services provided by public
accountants.
True/False questions
Question 1)
The increasing volume of real-time information available online has increased the need for assurance
from historical information at a point in time.
a) True
b) False
Answer: False
Difficulty: 1
Learning Objective: LO 1.1 Describe assurance services, and distinguish audit services from other
assurance and non-assurance services provided by public accountants.
Graduate Attribute: Knowledge
Question 2)
Assurance services are independent professional services that improve the quality of information for
decision makers.
a) True
b) False
Answer: True
Difficulty: 1
Learning Objective: LO 1.1 Describe assurance services, and distinguish audit services from other
assurance and non-assurance services provided by public accountants.
Graduate Attribute: Application of knowledge
PPROVED_2026??
, Question 3)
Attestation service is a type of assurance service in which the public accounting firm issues a written
communication that expresses a conclusion about the reliability of a written assertion of another
party.
a) True
b) False
Answer: True
Difficulty: 1
Learning Objective: LO 1.1 Describe assurance services, and distinguish audit services from other
assurance and non-assurance services provided by public accountants.
Graduate Attribute: Application of knowledge
Multiple choice questions
Question 4)
Which of the following is not a type of attestation service?
a) Review of historical financial statements
b) Assessment of risks of accumulation, distribution and storage of digital information
c) Audit of historical financial statements
d) Other attestation services
Answer: B
Feedback:
a) Incorrect. Review of historical financial statements is indeed a type of attestation service.
b) Correct. Assessment of risks of accumulation, distribution and storage of digital information is
not a type of attestation service. It is an example of other assurance services.
c) Incorrect. Audit of historical financial statements and review of historical financial statements
are types of attestation services.
d) Incorrect. Other attestation services comprise of a category that includes various types of
attestation services.
Difficulty: 2
Learning Objective: LO 1.1 Describe assurance services, and distinguish audit services from other
assurance and non-assurance services provided by public accountants.
Graduate Attribute: Application of knowledge
Question 5)
WebTrust and SysTrust services are related to which of the following?
PPROVED_2026??
a) Information technology assurances
b) Assurances over website controls
c) Assurances about information system reliability
