8/31/23,g12:38gP Auditinggassurancegservicesg5thgeditionglouwersgtestgb
M ank
Chapterg0
2gProfessionalg Standa
rds
Trueg /g Falseg Questions
1. Auditorsgmaygbegindependentgingfactgbutgnotgindependentgingappearance.
Trueg g False
2. AuditinggStandardsgissuedgbygthegPCAOBgaregthegsolegsourcegofgguidancegf
orgauditsg ofgpublicgentities.
Trueg g False
3. Attestationgstandardsgprovidegguidancegforgagwidegvarietygofgengage
mentsg differentgingscopegthangangaudit.
Trueg g False
4. Generallygacceptedgauditinggstandardsgmustgbegfollowedgongallg
auditg engagements.
Trueg g False
about:blank 1/151
,8/31/23,g12:38gP Auditinggassurancegservicesg5thgeditionglouwersgtestgb
M ank
5. Thegreportinggprinciplegrelatesgtogagfirm'sgsystemgofgqualitygcontrolgcrit
eriagforg conductinggangaudit.
Trueg g False
6. Auditorsgcannotgeffectivelygsatisfygthegresponsibilitiesgprinciplegrequiringgduegc
aregifg theyghavegnotgalsogsatisfiedgthegperformancegprinciple.
Trueg g False
7. Substantivegproceduresgperformedgbygthegauditgteamgaregmostgcloselygrela
tedgtog thegriskgofgmaterialgmisstatement.
Trueg g False
8. Auditinggproceduresgaregthegsamegasgauditinggstandards.
Trueg g False
9. Thegconceptgofgduegcaregreflectsgthegneedgtogplangandgperformgthegaudit
gwithgang appropriateglevelgofgprofessionalgskepticism.
Trueg g False
about:blank 2/151
,8/31/23,g12:38gP Auditinggassurancegservicesg5thgeditionglouwersgtestgb
M ank
10. Undergthegperformancegprinciple,gauditorsgaregrequiredgtogprovidegabs
oluteg assurancegthatgthegclient'sgfinancialgstatementsgdognotgcontaing
materialg misstatements.
Trueg g False
11. Thegperformancegprinciplegsetsgforthgthegqualitygcriteriagforgconductinggangaudit.
Trueg g False
12. AuditorsgofgpublicgentitiesgregisteredgwithgthegSecuritiesgandgExchangegCom
missiong aregrequiredgtogregistergwithgthegPublicgCompanygAccountinggOversi
ghtgBoard.
Trueg g False
13. Controlgriskgisgthegprobabilitygthatgagmaterialgmisstatementg(errorgorgfraud
)gcouldg occurgandgnotgbegpreventedgorgdetectedgongagtimelygbasisgbygt
hegauditors'g substantivegprocedures.
Trueg g False
14. Thegwordgappropriatenessgrefersgtogthegnumbergofgtransactionsgorgcompon
entsgofg angaccountgbalancegexaminedgbygauditors.
Trueg g False
about:blank 3/151
, 8/31/23,g12:38gP Auditinggassurancegservicesg5thgeditionglouwersgtestgb
M ank
15. Togbegconsideredgmaterial,gangitemgmustgbegonegthatgwouldginfluencegtheg
decisiong ofgfinancialgstatementgusers.
Trueg g False
16. Thegcontentsgofgthegauditors'greportgaregguidedgbygthegperformancegprin
ciplegofg GAAS.
Trueg g False
17. Angunqualifiedgopiniongindicatesgthatgthegfinancialgstatementsgpresentgthege
ntity'sg financialgcondition,gresultsgofgoperations,gandgcashgflowsgingconformit
ygwithgGAAP.
Trueg g False
18. Thegauditors'greportgshouldgeithergcontaingangexpressiongofgopiniongongthegfi
nancialg statementsgtakengasgagwholegorgangassertiongtogthegeffectgthatgango
piniongcannotgbeg expressed.
Trueg g False
19. Evidencegisgconsideredgappropriategwhengitgisgbothgvalidgandgrelevant.
Trueg g False
about:blank 4/151
M ank
Chapterg0
2gProfessionalg Standa
rds
Trueg /g Falseg Questions
1. Auditorsgmaygbegindependentgingfactgbutgnotgindependentgingappearance.
Trueg g False
2. AuditinggStandardsgissuedgbygthegPCAOBgaregthegsolegsourcegofgguidancegf
orgauditsg ofgpublicgentities.
Trueg g False
3. Attestationgstandardsgprovidegguidancegforgagwidegvarietygofgengage
mentsg differentgingscopegthangangaudit.
Trueg g False
4. Generallygacceptedgauditinggstandardsgmustgbegfollowedgongallg
auditg engagements.
Trueg g False
about:blank 1/151
,8/31/23,g12:38gP Auditinggassurancegservicesg5thgeditionglouwersgtestgb
M ank
5. Thegreportinggprinciplegrelatesgtogagfirm'sgsystemgofgqualitygcontrolgcrit
eriagforg conductinggangaudit.
Trueg g False
6. Auditorsgcannotgeffectivelygsatisfygthegresponsibilitiesgprinciplegrequiringgduegc
aregifg theyghavegnotgalsogsatisfiedgthegperformancegprinciple.
Trueg g False
7. Substantivegproceduresgperformedgbygthegauditgteamgaregmostgcloselygrela
tedgtog thegriskgofgmaterialgmisstatement.
Trueg g False
8. Auditinggproceduresgaregthegsamegasgauditinggstandards.
Trueg g False
9. Thegconceptgofgduegcaregreflectsgthegneedgtogplangandgperformgthegaudit
gwithgang appropriateglevelgofgprofessionalgskepticism.
Trueg g False
about:blank 2/151
,8/31/23,g12:38gP Auditinggassurancegservicesg5thgeditionglouwersgtestgb
M ank
10. Undergthegperformancegprinciple,gauditorsgaregrequiredgtogprovidegabs
oluteg assurancegthatgthegclient'sgfinancialgstatementsgdognotgcontaing
materialg misstatements.
Trueg g False
11. Thegperformancegprinciplegsetsgforthgthegqualitygcriteriagforgconductinggangaudit.
Trueg g False
12. AuditorsgofgpublicgentitiesgregisteredgwithgthegSecuritiesgandgExchangegCom
missiong aregrequiredgtogregistergwithgthegPublicgCompanygAccountinggOversi
ghtgBoard.
Trueg g False
13. Controlgriskgisgthegprobabilitygthatgagmaterialgmisstatementg(errorgorgfraud
)gcouldg occurgandgnotgbegpreventedgorgdetectedgongagtimelygbasisgbygt
hegauditors'g substantivegprocedures.
Trueg g False
14. Thegwordgappropriatenessgrefersgtogthegnumbergofgtransactionsgorgcompon
entsgofg angaccountgbalancegexaminedgbygauditors.
Trueg g False
about:blank 3/151
, 8/31/23,g12:38gP Auditinggassurancegservicesg5thgeditionglouwersgtestgb
M ank
15. Togbegconsideredgmaterial,gangitemgmustgbegonegthatgwouldginfluencegtheg
decisiong ofgfinancialgstatementgusers.
Trueg g False
16. Thegcontentsgofgthegauditors'greportgaregguidedgbygthegperformancegprin
ciplegofg GAAS.
Trueg g False
17. Angunqualifiedgopiniongindicatesgthatgthegfinancialgstatementsgpresentgthege
ntity'sg financialgcondition,gresultsgofgoperations,gandgcashgflowsgingconformit
ygwithgGAAP.
Trueg g False
18. Thegauditors'greportgshouldgeithergcontaingangexpressiongofgopiniongongthegfi
nancialg statementsgtakengasgagwholegorgangassertiongtogthegeffectgthatgango
piniongcannotgbeg expressed.
Trueg g False
19. Evidencegisgconsideredgappropriategwhengitgisgbothgvalidgandgrelevant.
Trueg g False
about:blank 4/151
