Nursedocs
Chapterj02j
ProfessionaljStandards
Truej /j Falsej Questions
1. Auditorsjmayjbejindependentjinjfactjbutjnotjindependentjinjappearance.
Truej False
2. AuditingjStandardsjissuedjbyjthejPCAOBjarejthejsolejsourcejofjguidancejforjauditsj o
fjpublicjentities.
Truej False
3. Attestationjstandardsjprovidejguidancejforjajwidejvarietyjofjengagementsj
differentjinjscopejthanjanjaudit.
Truej False
4. Generallyjacceptedjauditingjstandardsjmustjbejfollowedjonjalljauditj
engagements.
Truej False
,Nursedocs
5. Thejreportingjprinciplejrelatesjtojajfirm'sjsystemjofjqualityjcontroljcriteriajforj c
onductingjanjaudit.
Truej False
6. Auditorsjcannotjeffectivelyjsatisfyjthejresponsibilitiesjprinciplejrequiringjduejcarejifj t
heyjhavejnotjalsojsatisfiedjthejperformancejprinciple.
Truej False
7. Substantivejproceduresjperformedjbyjthejauditjteamjarejmostjcloselyjrelatedjtoj t
hejriskjofjmaterialjmisstatement.
Truej False
8. Auditingjproceduresjarejthejsamejasjauditingjstandards.
Truej False
9. Thejconceptjofjduejcarejreflectsjthejneedjtojplanjandjperformjthejauditjwithjanj a
ppropriatejleveljofjprofessionaljskepticism.
Truej False
,Nursedocs
10. Underjthejperformancejprinciple,jauditorsjarejrequiredjtojprovidejabsolutej
assurancejthatjthejclient'sjfinancialjstatementsjdojnotjcontainjmaterialj misst
atements.
Truej False
11. Thejperformancejprinciplejsetsjforthjthejqualityjcriteriajforjconductingjanjaudit.
Truej False
12. AuditorsjofjpublicjentitiesjregisteredjwithjthejSecuritiesjandjExchangejCommissionj a
rejrequiredjtojregisterjwithjthejPublicjCompanyjAccountingjOversightjBoard.
Truej False
13. Controljriskjisjthejprobabilityjthatjajmaterialjmisstatementj(errorjorjfraud)jcouldj o
ccurjandjnotjbejpreventedjorjdetectedjonjajtimelyjbasisjbyjthejauditors'j substanti
vejprocedures.
Truej False
14. Thejwordjappropriatenessjrefersjtojthejnumberjofjtransactionsjorjcomponentsjofj
anjaccountjbalancejexaminedjbyjauditors.
Truej False
, Nursedocs
15. Tojbejconsideredjmaterial,janjitemjmustjbejonejthatjwouldjinfluencejthejdecisionj o
fjfinancialjstatementjusers.
Truej False
16. Thejcontentsjofjthejauditors'jreportjarejguidedjbyjthejperformancejprinciplejofj G
AAS.
Truej False
17. Anjunqualifiedjopinionjindicatesjthatjthejfinancialjstatementsjpresentjthejentity'sj fi
nancialjcondition,jresultsjofjoperations,jandjcashjflowsjinjconformityjwithjGAAP.
Truej False
18. Thejauditors'jreportjshouldjeitherjcontainjanjexpressionjofjopinionjonjthejfinancialj st
atementsjtakenjasjajwholejorjanjassertionjtojthejeffectjthatjanjopinionjcannotjbej exp
ressed.
Truej False
19. Evidencejisjconsideredjappropriatejwhenjitjisjbothjvalidjandjrelevant.
Truej False
Chapterj02j
ProfessionaljStandards
Truej /j Falsej Questions
1. Auditorsjmayjbejindependentjinjfactjbutjnotjindependentjinjappearance.
Truej False
2. AuditingjStandardsjissuedjbyjthejPCAOBjarejthejsolejsourcejofjguidancejforjauditsj o
fjpublicjentities.
Truej False
3. Attestationjstandardsjprovidejguidancejforjajwidejvarietyjofjengagementsj
differentjinjscopejthanjanjaudit.
Truej False
4. Generallyjacceptedjauditingjstandardsjmustjbejfollowedjonjalljauditj
engagements.
Truej False
,Nursedocs
5. Thejreportingjprinciplejrelatesjtojajfirm'sjsystemjofjqualityjcontroljcriteriajforj c
onductingjanjaudit.
Truej False
6. Auditorsjcannotjeffectivelyjsatisfyjthejresponsibilitiesjprinciplejrequiringjduejcarejifj t
heyjhavejnotjalsojsatisfiedjthejperformancejprinciple.
Truej False
7. Substantivejproceduresjperformedjbyjthejauditjteamjarejmostjcloselyjrelatedjtoj t
hejriskjofjmaterialjmisstatement.
Truej False
8. Auditingjproceduresjarejthejsamejasjauditingjstandards.
Truej False
9. Thejconceptjofjduejcarejreflectsjthejneedjtojplanjandjperformjthejauditjwithjanj a
ppropriatejleveljofjprofessionaljskepticism.
Truej False
,Nursedocs
10. Underjthejperformancejprinciple,jauditorsjarejrequiredjtojprovidejabsolutej
assurancejthatjthejclient'sjfinancialjstatementsjdojnotjcontainjmaterialj misst
atements.
Truej False
11. Thejperformancejprinciplejsetsjforthjthejqualityjcriteriajforjconductingjanjaudit.
Truej False
12. AuditorsjofjpublicjentitiesjregisteredjwithjthejSecuritiesjandjExchangejCommissionj a
rejrequiredjtojregisterjwithjthejPublicjCompanyjAccountingjOversightjBoard.
Truej False
13. Controljriskjisjthejprobabilityjthatjajmaterialjmisstatementj(errorjorjfraud)jcouldj o
ccurjandjnotjbejpreventedjorjdetectedjonjajtimelyjbasisjbyjthejauditors'j substanti
vejprocedures.
Truej False
14. Thejwordjappropriatenessjrefersjtojthejnumberjofjtransactionsjorjcomponentsjofj
anjaccountjbalancejexaminedjbyjauditors.
Truej False
, Nursedocs
15. Tojbejconsideredjmaterial,janjitemjmustjbejonejthatjwouldjinfluencejthejdecisionj o
fjfinancialjstatementjusers.
Truej False
16. Thejcontentsjofjthejauditors'jreportjarejguidedjbyjthejperformancejprinciplejofj G
AAS.
Truej False
17. Anjunqualifiedjopinionjindicatesjthatjthejfinancialjstatementsjpresentjthejentity'sj fi
nancialjcondition,jresultsjofjoperations,jandjcashjflowsjinjconformityjwithjGAAP.
Truej False
18. Thejauditors'jreportjshouldjeitherjcontainjanjexpressionjofjopinionjonjthejfinancialj st
atementsjtakenjasjajwholejorjanjassertionjtojthejeffectjthatjanjopinionjcannotjbej exp
ressed.
Truej False
19. Evidencejisjconsideredjappropriatejwhenjitjisjbothjvalidjandjrelevant.
Truej False
