WGU D251 Advanced Auditing Final Exam
Questions with 100% Correct Answers Verified
Latest Update 20 Pages
The auditor's judgment concerning the overall fairness of the
presentation of financial position, results of operations, and cash flows is
applied within the framework of:
A: quality control.
B: generally accepted auditing standards, which include the concept of
materiality.
C: the auditor's evaluation of the audited company's internal control.
D: the applicable financial reporting framework (i.e., GAAP in the United
States). - ✔️
✔️D: the applicable financial reporting framework (i.e.,
GAAP in the United States).
Inquiries of warehouse personnel concerning possible obsolete or slow
moving inventory items provide assurance about the PCAOB assertion
of:
A: completeness.
Page 1 of 31
WGU D251 Advanced Auditing Final Exam | Questions
with 100% Correct Answers | Verified | Latest Update | 20
Pages
, B: existence.
C: presentation.
D: valuation.
E: rights and obligations. - ✔️
✔D
️: valuation.
Assurance services involve all of the following, except:
A: relevance as well as the reliability of information.
B: non financial information as well as traditional financial statements.
C: providing absolute rather than reasonable assurance.
D: electronic databases as well as printed reports. - ✔️
✔️C: providing
absolute rather than reasonable assurance.
According to PCAOB Auditing Standard No. 2201 (AS 2201), the auditor
should identify significant accounts and disclosures and their relevant
assertions. Which of the following financial statement assertions is not
explicitly identified in AS 2201?
Page 2 of 31
WGU D251 Advanced Auditing Final Exam | Questions
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Pages
, A: Completeness.
B: Valuation or allocation.
C: Accuracy.
D: Existence or occurrence.
E: All of these are assertions identified in AS 5. - ✔️
✔C
️: Accuracy.
Which of the following is a management assertion regarding account
balances at the period end?
A: Transactions and events that have been recorded have occurred and
pertain to the entity.
B: Transactions and events have been recorded in the proper accounts.
C: The entity holds or controls the rights to assets, and liabilities are
obligations of the entity.
Page 3 of 31
WGU D251 Advanced Auditing Final Exam | Questions
with 100% Correct Answers | Verified | Latest Update | 20
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, D: Amounts and other data related to the transactions and events have
been recorded appropriately. - ✔️
✔️C: The entity holds or controls the
rights to assets, and liabilities are obligations of the entity.
Which of the following is not included in the American Accounting
Association (AAA) definition of auditing?
A: Potential conflict of interest.
B: Systematic process.
C: Assertions about economic actions.
D: Established criteria. - ✔️
✔️A: Potential conflict of interest.
The audit objective that footnotes in the financial statements should be
clear and expressed such that the information is easily conveyed to the
readers of the financial statements is related most closely with which of
the ASB presentation and disclosure assertions?
A: Occurrence.
B: Rights and obligations.
Page 4 of 31
WGU D251 Advanced Auditing Final Exam | Questions
with 100% Correct Answers | Verified | Latest Update | 20
Pages
Questions with 100% Correct Answers Verified
Latest Update 20 Pages
The auditor's judgment concerning the overall fairness of the
presentation of financial position, results of operations, and cash flows is
applied within the framework of:
A: quality control.
B: generally accepted auditing standards, which include the concept of
materiality.
C: the auditor's evaluation of the audited company's internal control.
D: the applicable financial reporting framework (i.e., GAAP in the United
States). - ✔️
✔️D: the applicable financial reporting framework (i.e.,
GAAP in the United States).
Inquiries of warehouse personnel concerning possible obsolete or slow
moving inventory items provide assurance about the PCAOB assertion
of:
A: completeness.
Page 1 of 31
WGU D251 Advanced Auditing Final Exam | Questions
with 100% Correct Answers | Verified | Latest Update | 20
Pages
, B: existence.
C: presentation.
D: valuation.
E: rights and obligations. - ✔️
✔D
️: valuation.
Assurance services involve all of the following, except:
A: relevance as well as the reliability of information.
B: non financial information as well as traditional financial statements.
C: providing absolute rather than reasonable assurance.
D: electronic databases as well as printed reports. - ✔️
✔️C: providing
absolute rather than reasonable assurance.
According to PCAOB Auditing Standard No. 2201 (AS 2201), the auditor
should identify significant accounts and disclosures and their relevant
assertions. Which of the following financial statement assertions is not
explicitly identified in AS 2201?
Page 2 of 31
WGU D251 Advanced Auditing Final Exam | Questions
with 100% Correct Answers | Verified | Latest Update | 20
Pages
, A: Completeness.
B: Valuation or allocation.
C: Accuracy.
D: Existence or occurrence.
E: All of these are assertions identified in AS 5. - ✔️
✔C
️: Accuracy.
Which of the following is a management assertion regarding account
balances at the period end?
A: Transactions and events that have been recorded have occurred and
pertain to the entity.
B: Transactions and events have been recorded in the proper accounts.
C: The entity holds or controls the rights to assets, and liabilities are
obligations of the entity.
Page 3 of 31
WGU D251 Advanced Auditing Final Exam | Questions
with 100% Correct Answers | Verified | Latest Update | 20
Pages
, D: Amounts and other data related to the transactions and events have
been recorded appropriately. - ✔️
✔️C: The entity holds or controls the
rights to assets, and liabilities are obligations of the entity.
Which of the following is not included in the American Accounting
Association (AAA) definition of auditing?
A: Potential conflict of interest.
B: Systematic process.
C: Assertions about economic actions.
D: Established criteria. - ✔️
✔️A: Potential conflict of interest.
The audit objective that footnotes in the financial statements should be
clear and expressed such that the information is easily conveyed to the
readers of the financial statements is related most closely with which of
the ASB presentation and disclosure assertions?
A: Occurrence.
B: Rights and obligations.
Page 4 of 31
WGU D251 Advanced Auditing Final Exam | Questions
with 100% Correct Answers | Verified | Latest Update | 20
Pages
