In determining the operating effectiveness of the internal control policy or procedure, the auditor is concerned with the following: I. How the policy or procedure was applied II. Whether there is consistency in the application of the policy or procedure III. The personnel involved in applying the policy or procedure * A. I, II B. I,III C. II, III D. I,II,III

Q: Which of the following is a common monitoring control? Multiple Choice O audit committee inquiries…

A: Internal controls are the rules and procedures implemented by a company to ensure compliance with…

Q: Which of the following internal control components involves the ongoing evaluation of the…

A: Internal controls are implemented to prevent fraud in the organization. These are the rules or…

Q: 1. Calculate credit sales for May. $ Calculate credit sales for June. $ Calculate credit sales for…

A: When Sales are made Payments are expected to be collected either immediately at time of sale or…

Q: Which of the following are true regarding internal auditors and the adequacy of an organization’s…

A: Answer: I. Internal auditors must understand the risk assessment process and the tools used to make…

Q: Internal auditors are responsible for:   A) Issuing a certification report on the internal…

A: Internal Control: The process by which an organization develops the rules and regulations for the…

Q: An auditor's primary consideration regarding an entity's internal controls is whether they a.…

A: In most cases, those responsible for putting up a company's financial statements will rely on five…

Q: To test the operating effectiveness of a control, an audit team might use a combination ofeach of…

A: Internal control: It can be defined as a system that includes the policies, rules, and procedures…

Q: When testing IT controls, which of the following BEST (select one) describes the IT auditor's focus:…

A: IT controls audit is the process of evaluating an organization's IT controls to determine their…

Q: Tests of controls in a GAAS audit are required fora. Obtaining evidence about the financial…

A: Formal criteria used by auditors when carrying out audits of corporate financial reports are a…

Q: When testing IT controls, which of the following BEST (select one) describes the IT auditor's…

A: IT controls audit is the process of evaluating an organization's IT controls to determine their…

Q: During an audit, the internal auditor should consider the following factor(s) in determining the…

A: Audit procedures are the techniques, processes, and methods that auditors use to obtain reliable…

Q: With respect to an audit, which of the following is not a risk assessment procedure?  Analytical…

A: Risk assessment procedureThe risk assessment procedure is one of the audit procedures which are…

Q: The primary purpose for obtaining an understanding of a nonpublic audit client’s internal control is…

A: Generally accepted auditing standards (GAAS): These are defined as the set of general principles and…

Q: auditor obtains sufficient understanding of the internal control structure

A: Auditing is done to verify whether the underlying financial statements show true and fair view of…

Q: Which of the following is correct about ISA 520? O a. ISA 520 deals with the procedures after an…

A: The International Standard on Auditing 520 focuses on the analytical procedure used by the auditors…

Q: Using your selected objective, create an audit plan of the organization's financial statements that…

A: Audit planning is one of the basic principles for governing an audit.Auditor should plan his work to…

Q: An auditor is required to obtain sufficient understanding of each component of an entity’s internal…

A: As part of the audit planning process, an auditor needs to obtain a sufficient understanding of the…

Q: Identify the correct order of steps for an auditor when applying a top-down approach to select…

A: The top-down approach is used to detect risks in the internal controls and gain an overall…

Q: An audit strategy memorandum containsa. Specifications of auditing standards relevant to the…

A:

Q: When planning the audit of internal controls for an issuer, the audit team shoulda. Identify…

A: Internal control is a mechanism or procedure that the company implements so that the integrity of…

Q: Which of the following audit types is designed to add value and improve the organization's…

A: Auditing is a process of examining the financial statements and internal control system of an…

Q: The internal audit risk assessment process:

A: It refers to the systematic and recurring process for evaluating and identifying events that affect…

Q: Auditing is based on the assumption that financial data and statements are A. Verifiable B.…

A: Lets understand the basics.Auditing is an examination of books of account in order to form an…

Q: Which of the following is required documentation in an audit in accordance with generally…

A: According to generally accepted auditing standards (GAAS), an auditor is required to document the…

Q: Service organization control (SOC) reports may be requested by auditors when a service organization…

A: SOC Type 1 report evaluates the control of service organization over financial reporting. The report…

Q: The audit process may be divided up into four phases. At which phase would the auditor normally…

A: Steps often involve validating sample transactions, conducting surveys, evaluating laws, rules, and…

Q: Discuss the auditor's risk assessment procedures for assessing control risk, and provide specific…

A: Risk assessment means to manage the risks related to the organization and taking corrective actions…

Q: Describe the four phases performed by the auditor when obtainingan understanding of internal control…

A: Control risks Control risks can be defined as possible risks and errors that can exist after the…

Q: What types of audit procedures are typically performed in testing operating effectiveness of…

A: Test of Controls: The test of controls includes the procedures that are developed to generate…

Q: In the auditing process Select one: a. the criteria for evaluating information will not vary…

A: Auditing process means process or procedure of verifying and examining books of account, operations,…

Q: What are the three goals of an internal control system according to the COSO report? Which of…

A:

Q: Which of the following factors most likely affects the auditor's judgment about the quantity, type,…

A: Audit is the function by which the auditor check the financial statement of a company identify the…

Q: a. Define audit risk. b. Describe the components of audit risk (e.g., inherent risk, control risk,…

A: Define audit risk. Audit risk is the risk that the auditor will express an inappropriate opinion on…

Q: Tests of controls in a GAAS audit are required fora. Obtaining evidence about the financial…

A: Test of controls is the process of the audit to check the effectiveness of the controls by a client…

Q: Which of the following are true regarding internal auditors and the adequacy of an organization's…

A: Internal Auditor - It is the person having trained professional tasked with providing separate,…