AUD Exam Terms Questions & Answers 2023/2024

AUD Exam Terms Questions & Answers 2023/2024 account balances - ANSWER-One of three categories of financial statement assertions, relating primarily to assets, liabilities, and equity interests. accounting estimate - ANSWER-an approximation of a financial statement element, item, or account used because data either is not readily available or is dependent upon the outcome of future events accounts payable confirmation - ANSWER-a request for independent verification of payables accounts receivable confirmation - ANSWER-a request for independent verification of receivables - this is a required, generally accepted auditing procedure accuracy - ANSWER-a financial statement assertion in the "transactions and events" category indicating that amounts and other data relating to recorded transactions and events have been recorded properly accuracy and valuation - ANSWER-A financial statement assertion in the "presentation and disclosure" category indicating that financial and other information are disclosed fairly and at appropriate amounts. activity ratio - ANSWER-A ratio that measures how effectively an enterprise is using its assets. adverse opinion - ANSWER-An auditor's report stating that the financial statements "do not present fairly..." agreed upon procedures - ANSWER-an attestation engagement in which a practitioner performs specific procedures on underlying subject matter information and reports findings without providing an opinion or conclusion