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WGU D251 ADAVANCED AUDITING OBJECTIVE ASSESSMENT EXAM
LATEST 2026 ACTUAL EXAM WITH COMPLETE QUESTIONS AND
CORRECT DETAILED ANSWERS (100% VERIFIED ANSWERS)
|ALREADY GRADED A+| ||PROFESSOR VERIFIED|| ||BRANDNEW!!!||
To test the completeness of sales, the auditor would select a
sample of transactions from which of the following populations?
a. Customer order file.
b. Open invoice file.
c. Bill of lading file.
d. Sales invoice file - ANSWER-c. Bill of lading file.
The auditor is concerned that the client has recorded fictitious
sales. Which of the following procedures would be the best audit
procedure to identify fictitious sales?
a. Select a sample of recorded sales invoices and trace to
shipping documents (bills of lading and packing slips) to verify
shipment of goods.
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b. Select a sample of shipping documents (bills of lading) and
trace to the sales invoice to determine whether the invoice was
properly recorded.
c. Select a sample of customer purchas - ANSWER-a. Select a
sample of recorded sales invoices and trace to shipping
documents (bills of lading and packing slips) to verify shipment of
goods.
What is a formal document that conveys responsibility for shipped
merchandise to the shipper?
a. Bill of lading
b. Sales invoice
c. Receiving report
d. Purchase order - ANSWER-a. Bill of lading
Which situation would an auditor likely identify as fraud related to
revenue recognition?
a. Sales are higher in the month preceding each quarter-end
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b. Sales of a revolutionary new product are increasing beyond
that of the competition.
c. Sales have increased 5% in the current period over the
previous period and are consistent with the results of competitors.
d. The gross margin is equivalent in the current period to previous
periods and is below that of the industry - ANSWER-a. Sales are
higher in the month preceding each quarter-end
What is a control that may be implemented to ensure all sales that
occur are recorded in the general ledger?
a. Using prenumbered statements, inventory lists, and credit
memos
b. Using pre-authorized price lists
c. Using prenumbered shipping, invoice, and sales documents
d. Using reconciled invoices with customer statements -
ANSWER-Using prenumbered shipping, invoice, and sales
documents
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The internal audit department at a company receives electronic
exception reports for all sales transactions over $10,000.
For which purpose is this process performed?
a. Monitoring revenue transactions
b. Making management decisions for operational improvement
c. Providing management reports to the controller
d. Drafting financial statements - - ANSWER-Monitoring revenue
transactions
After identifying the risks of material misstatement, an auditor
develops an audit plan in response to those risks. Which plan for
testing revenue should the auditor implement if the auditor
believes that the control risk is high?
a. Obtain necessary audit evidence only from tests of details
b. Obtain 60% of the necessary audit evidence from tests of
controls and the remaining 40% from substantive analytical
procedures
WGU D251 ADAVANCED AUDITING OBJECTIVE ASSESSMENT EXAM
LATEST 2026 ACTUAL EXAM WITH COMPLETE QUESTIONS AND
CORRECT DETAILED ANSWERS (100% VERIFIED ANSWERS)
|ALREADY GRADED A+| ||PROFESSOR VERIFIED|| ||BRANDNEW!!!||
To test the completeness of sales, the auditor would select a
sample of transactions from which of the following populations?
a. Customer order file.
b. Open invoice file.
c. Bill of lading file.
d. Sales invoice file - ANSWER-c. Bill of lading file.
The auditor is concerned that the client has recorded fictitious
sales. Which of the following procedures would be the best audit
procedure to identify fictitious sales?
a. Select a sample of recorded sales invoices and trace to
shipping documents (bills of lading and packing slips) to verify
shipment of goods.
,2|Page
b. Select a sample of shipping documents (bills of lading) and
trace to the sales invoice to determine whether the invoice was
properly recorded.
c. Select a sample of customer purchas - ANSWER-a. Select a
sample of recorded sales invoices and trace to shipping
documents (bills of lading and packing slips) to verify shipment of
goods.
What is a formal document that conveys responsibility for shipped
merchandise to the shipper?
a. Bill of lading
b. Sales invoice
c. Receiving report
d. Purchase order - ANSWER-a. Bill of lading
Which situation would an auditor likely identify as fraud related to
revenue recognition?
a. Sales are higher in the month preceding each quarter-end
,3|Page
b. Sales of a revolutionary new product are increasing beyond
that of the competition.
c. Sales have increased 5% in the current period over the
previous period and are consistent with the results of competitors.
d. The gross margin is equivalent in the current period to previous
periods and is below that of the industry - ANSWER-a. Sales are
higher in the month preceding each quarter-end
What is a control that may be implemented to ensure all sales that
occur are recorded in the general ledger?
a. Using prenumbered statements, inventory lists, and credit
memos
b. Using pre-authorized price lists
c. Using prenumbered shipping, invoice, and sales documents
d. Using reconciled invoices with customer statements -
ANSWER-Using prenumbered shipping, invoice, and sales
documents
, 4|Page
The internal audit department at a company receives electronic
exception reports for all sales transactions over $10,000.
For which purpose is this process performed?
a. Monitoring revenue transactions
b. Making management decisions for operational improvement
c. Providing management reports to the controller
d. Drafting financial statements - - ANSWER-Monitoring revenue
transactions
After identifying the risks of material misstatement, an auditor
develops an audit plan in response to those risks. Which plan for
testing revenue should the auditor implement if the auditor
believes that the control risk is high?
a. Obtain necessary audit evidence only from tests of details
b. Obtain 60% of the necessary audit evidence from tests of
controls and the remaining 40% from substantive analytical
procedures
