ACC 410 ACC/410 ACC410- midterm exam

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ACC 410 ACC/410 ACC410- midterm exam

  1. Three common types of attestation services are:
  2. One objective of an operational audit is to:
  3. The three requirements for becoming a CPA include all but which of the following?
  4. An examination of part of an organization’s procedures and methods for the purpose of evaluating efficiency and effectiveness is what type of audit?
  5. Statements on Standards for Accounting and Review Services are issued by the:
  6. Which of the following are audit standards used in professional practice by audit firms?
  7. Hansen Corporation’s stock is listed on a national stock exchange and registered with the Securities and Exchange Commission. Hansen’s management hires a CPA to perform an independent audit of Hansen’s financial statements. The primary objective of this audit is to provide assurance to the:
  8. Within the context of quality control, the primary purpose of continuing professional education and training activities is to enable a CPA firm to provide its personnel with:
  9. A CPA may wish to emphasize specific matters regarding the financial statements even though an unqualified opinion will be issued. Normally, such explanatory information is:
  10. A company has changed its method of inventory valuation from an unacceptable one to one in conformity with generally accepted accounting principles. The auditor’s report on the financial statements of the year of the change should include:
  11. To emphasize the fact that the auditor is independent, a typical addressee of the audit report could be:
  12. As a result of management’s refusal to permit the auditor to physically examine inventory. The auditor must depart from the unqualified audit report because:
  13. Which of the following is(are) true concerning the Ethical Principles of the Code of Professional Conduct?
    I.   They identify ideal conduct.
    II.  They are general ideals and difficult to enforce.
  14. In determining independence with respect to any audit engagement, the ultimate decision as to whether or not the auditor is independent must be made by the:
  15. Rule 301 of the AICPA’s Code of Professional Conduct requires CPAs to maintain the confidentiality of client information. This rule would be violated if a CPA disclosed information without a client’s consent as a result of a:
  16. Financial interests family members of a CPA can affect the CPA’s independence. Which of the following parties would not be included as a “direct financial interest” of the CPA?
  17. In the performance of an audit, a CPA:
  18. Laws that have been passed by the U.S. Congress and other governmental units are:
  19. Audit fraud occurs when:
  20. The preferred defense in third-party suits is:
  21. If a short-term note payable is included in the accounts payable balance on the financial statement, there is a violation of the:
  22. Tests of details of balances are specific audit procedures that are intended to:
  23. Which of the following is the auditor least likely to do when aware of an illegal act?
  24. Which of the following is not one of the three categories of assertions?
  25. Audit evidence has two primary qualities for the auditor; relevance and reliability. Given the choices below which provides the auditor with the most reliable audit evidence?
  26. Audit procedures are concerned with the nature, extent, and timing in gathering audit evidence. Which, of the following, is true as to the timing of audit procedures?
  27. An example of an external document that provides reliable information for the auditor is:
  28. Two determinants of the persuasiveness of evidence are:
  29. An auditor should examine minutes of the board of directors’ meetings:
  30. Initial audit planning involves four matters. Which of the following is not one of these?
  31. Which is usually included in an engagement letter?
  32. Most auditors assess inherent risk as high for related parties and related-party transactions because:
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