Nursedocs
Chapterg0
2gProfessionalgStanda
rds
Trueg /g Falseg Questions
1. Auditorsgmaygbegindependentgingfactgbutgnotgindependentgingappearance.
Trueg False
2. AuditinggStandardsgissuedgbygthegPCAOBgaregthegsolegsourcegofgguidancegf
orgauditsg ofgpublicgentities.
Trueg False
3. Attestationgstandardsgprovidegguidancegforgagwidegvarietygofgengage
mentsg differentgingscopegthangangaudit.
Trueg False
4. Generallygacceptedgauditinggstandardsgmustgbegfollowedgongall
gauditg engagements.
Trueg False
,Nursedocs
5. Thegreportinggprinciplegrelatesgtogagfirm'sgsystemgofgqualitygcontrolgcrit
eriagforg conductinggangaudit.
Trueg False
6. Auditorsgcannotgeffectivelygsatisfygthegresponsibilitiesgprinciplegrequiringgduegc
aregifg theyghavegnotgalsogsatisfiedgthegperformancegprinciple.
Trueg False
7. Substantivegproceduresgperformedgbygthegauditgteamgaregmostgcloselygrela
tedgtog thegriskgofgmaterialgmisstatement.
Trueg False
8. Auditinggproceduresgaregthegsamegasgauditinggstandards.
Trueg False
9. Thegconceptgofgduegcaregreflectsgthegneedgtogplangandgperformgthegaudit
gwithgang appropriateglevelgofgprofessionalgskepticism.
Trueg False
,Nursedocs
10. Undergthegperformancegprinciple,gauditorsgaregrequiredgtogprovidegab
soluteg assurancegthatgthegclient'sgfinancialgstatementsgdognotgcontain
gmaterialg misstatements.
Trueg False
11. Thegperformancegprinciplegsetsgforthgthegqualitygcriteriagforgconductinggangaudit.
Trueg False
12. AuditorsgofgpublicgentitiesgregisteredgwithgthegSecuritiesgandgExchangegCom
missiong aregrequiredgtogregistergwithgthegPublicgCompanygAccountinggOversi
ghtgBoard.
Trueg False
13. Controlgriskgisgthegprobabilitygthatgagmaterialgmisstatementg(errorgorgfraud
)gcouldg occurgandgnotgbegpreventedgorgdetectedgongagtimelygbasisgbygt
hegauditors'g substantivegprocedures.
Trueg False
14. Thegwordgappropriatenessgrefersgtogthegnumbergofgtransactionsgorgcompon
entsgofg angaccountgbalancegexaminedgbygauditors.
Trueg False
, Nursedocs
15. Togbegconsideredgmaterial,gangitemgmustgbegonegthatgwouldginfluencegtheg
decisiong ofgfinancialgstatementgusers.
Trueg False
16. Thegcontentsgofgthegauditors'greportgaregguidedgbygthegperformancegprin
ciplegofg GAAS.
Trueg False
17. Angunqualifiedgopiniongindicatesgthatgthegfinancialgstatementsgpresentgthege
ntity'sg financialgcondition,gresultsgofgoperations,gandgcashgflowsgingconformi
tygwithgGAAP.
Trueg False
18. Thegauditors'greportgshouldgeithergcontaingangexpressiongofgopiniongongthegfi
nancialg statementsgtakengasgagwholegorgangassertiongtogthegeffectgthatgango
piniongcannotgbeg expressed.
Trueg False
19. Evidencegisgconsideredgappropriategwhengitgisgbothgvalidgandgrelevant.
Trueg False
Chapterg0
2gProfessionalgStanda
rds
Trueg /g Falseg Questions
1. Auditorsgmaygbegindependentgingfactgbutgnotgindependentgingappearance.
Trueg False
2. AuditinggStandardsgissuedgbygthegPCAOBgaregthegsolegsourcegofgguidancegf
orgauditsg ofgpublicgentities.
Trueg False
3. Attestationgstandardsgprovidegguidancegforgagwidegvarietygofgengage
mentsg differentgingscopegthangangaudit.
Trueg False
4. Generallygacceptedgauditinggstandardsgmustgbegfollowedgongall
gauditg engagements.
Trueg False
,Nursedocs
5. Thegreportinggprinciplegrelatesgtogagfirm'sgsystemgofgqualitygcontrolgcrit
eriagforg conductinggangaudit.
Trueg False
6. Auditorsgcannotgeffectivelygsatisfygthegresponsibilitiesgprinciplegrequiringgduegc
aregifg theyghavegnotgalsogsatisfiedgthegperformancegprinciple.
Trueg False
7. Substantivegproceduresgperformedgbygthegauditgteamgaregmostgcloselygrela
tedgtog thegriskgofgmaterialgmisstatement.
Trueg False
8. Auditinggproceduresgaregthegsamegasgauditinggstandards.
Trueg False
9. Thegconceptgofgduegcaregreflectsgthegneedgtogplangandgperformgthegaudit
gwithgang appropriateglevelgofgprofessionalgskepticism.
Trueg False
,Nursedocs
10. Undergthegperformancegprinciple,gauditorsgaregrequiredgtogprovidegab
soluteg assurancegthatgthegclient'sgfinancialgstatementsgdognotgcontain
gmaterialg misstatements.
Trueg False
11. Thegperformancegprinciplegsetsgforthgthegqualitygcriteriagforgconductinggangaudit.
Trueg False
12. AuditorsgofgpublicgentitiesgregisteredgwithgthegSecuritiesgandgExchangegCom
missiong aregrequiredgtogregistergwithgthegPublicgCompanygAccountinggOversi
ghtgBoard.
Trueg False
13. Controlgriskgisgthegprobabilitygthatgagmaterialgmisstatementg(errorgorgfraud
)gcouldg occurgandgnotgbegpreventedgorgdetectedgongagtimelygbasisgbygt
hegauditors'g substantivegprocedures.
Trueg False
14. Thegwordgappropriatenessgrefersgtogthegnumbergofgtransactionsgorgcompon
entsgofg angaccountgbalancegexaminedgbygauditors.
Trueg False
, Nursedocs
15. Togbegconsideredgmaterial,gangitemgmustgbegonegthatgwouldginfluencegtheg
decisiong ofgfinancialgstatementgusers.
Trueg False
16. Thegcontentsgofgthegauditors'greportgaregguidedgbygthegperformancegprin
ciplegofg GAAS.
Trueg False
17. Angunqualifiedgopiniongindicatesgthatgthegfinancialgstatementsgpresentgthege
ntity'sg financialgcondition,gresultsgofgoperations,gandgcashgflowsgingconformi
tygwithgGAAP.
Trueg False
18. Thegauditors'greportgshouldgeithergcontaingangexpressiongofgopiniongongthegfi
nancialg statementsgtakengasgagwholegorgangassertiongtogthegeffectgthatgango
piniongcannotgbeg expressed.
Trueg False
19. Evidencegisgconsideredgappropriategwhengitgisgbothgvalidgandgrelevant.
Trueg False
