ACC 409 EXAM 2 EXAM WITH CORRECT
ACTUAL QUESTIONS AND CORRECTLY
WELL DEFINED ANSWERS LATEST 2025
ALREADY GRADED A+
As cash processing systems become more automated and integrated, which is
true about segregation of duties? - ANSWERS-The importance of segregation of
duties does not change
The auditor will send a standard bank confirmation to which of the following? -
ANSWERS-Financial institutions with which the client has transacted during the
year
How will the auditor most likely utilize the bank reconciliation as evidence in
the audit of cash? - ANSWERS-Tests deposits in transit and outstanding items to
corroborating evidence
Which of the following procedures does the auditor typically perform when
testing the existence of cash? - ANSWERS-Sending a standard bank confirmation
, Periodic bank reconciliations should be performed by the individual who makes
the client's bank deposits. - ANSWERS-False
Which of the following best describes year-to-year comparisons of account
balances? - ANSWERS-Trend analyses
A misstatement is an error, either intentional or unintentional, that exists in a
transaction or account balance. - ANSWERS-True
A risk factor indicating a heightened risk of fraud would be considered a
significant risk. - ANSWERS-True
Which of the following are two frequently used planning analytical procedures?
- ANSWERS-Ratio analyses and trend analyses
If materiality changes during the audit, what happens to previous decisions
using the initial materiality setting? - ANSWERS-The auditor reassess those
previous decisions
Audit risk is the risk the auditor expresses an inappropriate audit opinion when
financials are materially misstated. - ANSWERS-True
If $15,000 is material to income statement, but $25,000 is material to the
balance sheet, materiality should be what amount? - ANSWERS-$15,000
ACTUAL QUESTIONS AND CORRECTLY
WELL DEFINED ANSWERS LATEST 2025
ALREADY GRADED A+
As cash processing systems become more automated and integrated, which is
true about segregation of duties? - ANSWERS-The importance of segregation of
duties does not change
The auditor will send a standard bank confirmation to which of the following? -
ANSWERS-Financial institutions with which the client has transacted during the
year
How will the auditor most likely utilize the bank reconciliation as evidence in
the audit of cash? - ANSWERS-Tests deposits in transit and outstanding items to
corroborating evidence
Which of the following procedures does the auditor typically perform when
testing the existence of cash? - ANSWERS-Sending a standard bank confirmation
, Periodic bank reconciliations should be performed by the individual who makes
the client's bank deposits. - ANSWERS-False
Which of the following best describes year-to-year comparisons of account
balances? - ANSWERS-Trend analyses
A misstatement is an error, either intentional or unintentional, that exists in a
transaction or account balance. - ANSWERS-True
A risk factor indicating a heightened risk of fraud would be considered a
significant risk. - ANSWERS-True
Which of the following are two frequently used planning analytical procedures?
- ANSWERS-Ratio analyses and trend analyses
If materiality changes during the audit, what happens to previous decisions
using the initial materiality setting? - ANSWERS-The auditor reassess those
previous decisions
Audit risk is the risk the auditor expresses an inappropriate audit opinion when
financials are materially misstated. - ANSWERS-True
If $15,000 is material to income statement, but $25,000 is material to the
balance sheet, materiality should be what amount? - ANSWERS-$15,000
