BMGT 422 ASSERTIONS PRACTICE
EXAM 1 QUESTIONS AND ANSWERS
When auditing the accounts receivable account on the Balance Sheet,
an auditor's procedures most likely would focus primarily on
management's assertion of: - ANSWER existence
Identify the PCAOB audit objective:
Obtain evidence that the securities are bona fide and held by Spillane or
a responsible custodian and Obtain evidence that the loan transaction
and securities purchase transactions actually took place during the year
under audit. - ANSWER Existence and Occurrence
Identify the PCAOB audit objective:
Obtain evidence that all the securities purchase transactions were
recorded. - ANSWER Completeness
Identify the PCAOB audit objective:
Obtain evidence that Spillane owned the securities and Obtain evidence
that $500,000 is the amount actually owed on the loan. - ANSWER
Rights and obligations
Identify the PCAOB audit objective:
Obtain evidence of the cost and market value of the securities held at
December 31. Decide whether any write-downs to market are required
by the appropriate reporting framework. - ANSWER Valuation
Identify the PCAOB audit objective:
EXAM 1 QUESTIONS AND ANSWERS
When auditing the accounts receivable account on the Balance Sheet,
an auditor's procedures most likely would focus primarily on
management's assertion of: - ANSWER existence
Identify the PCAOB audit objective:
Obtain evidence that the securities are bona fide and held by Spillane or
a responsible custodian and Obtain evidence that the loan transaction
and securities purchase transactions actually took place during the year
under audit. - ANSWER Existence and Occurrence
Identify the PCAOB audit objective:
Obtain evidence that all the securities purchase transactions were
recorded. - ANSWER Completeness
Identify the PCAOB audit objective:
Obtain evidence that Spillane owned the securities and Obtain evidence
that $500,000 is the amount actually owed on the loan. - ANSWER
Rights and obligations
Identify the PCAOB audit objective:
Obtain evidence of the cost and market value of the securities held at
December 31. Decide whether any write-downs to market are required
by the appropriate reporting framework. - ANSWER Valuation
Identify the PCAOB audit objective:
