Audit Enumeration 4

Question 1

Factors in determination of sample size of test of controls

Answer 1

1. Acceptable sampling risk
2. Tolerable deviation rate
3. Expected deviation rate

Question 2

Factors in determination of sample size of substantive test

Answer 2

1. Acceptebale sampling risk
2. Torelable misstatement
3. Expected misstatement
4. Variation in the population

Question 3

Sample selection method for TOC and ST

Answer 3

1. Random number selection
2. Systematic Selection
3. Haphazard selection

Question 4

Completing the audit procedures

Answer 4

1. Identifying subsequent events that may affect the FS under audit
2. identifying contingencies such as litigations, claims and assessment
3. Obtaining written management representation
4. Performing wrap-up procedures

Question 5

Basic elements of unmodified opinion

Answer 5

1. Title
2. Addresse
3. Auditirs opinion
4. Basis for the opinion
5. Responsibilities for the FS
6. Auditors resposibilities for the audit of the FS
7. Other reporting responsibilities
8. Auditors signature
9. Auditors address
10. Date of the report

Question 6

Does not negate the auditors unmodified opinion

Answer 6

1. Uncertainties
2. Going concern
3. Early application of new accounting standards
4. Major catastrophe
5. Subsequent discovery of facts
6. Special purpose FS

Question 7

Types of assurance engagement and related services

Answer 7

1. Audit
2. Review
3. Agreed-upon procedure
4. Compilation

Question 8

Elements of assurance engagement

Answer 8

1. Three-party relationship
2. Appropriate subject matter
3. Suitable criteria
4. Sufficient appropriate evidence
5. Written assurance report