Set 1 - AU Chapter 1 - Assurance Handbook and Regulatory Handbook

Question 1

Who issues auditing standards in Canada?

Answer 1

Auditing and Assurance Standards Board

Question 2

Which section of the handbook would you go to if you needed to find out how to perform an audit?

Answer 2

CAS

Question 3

Which section of the handbook deals with other engagements than audits of financial statements?

Answer 3

OCS

Question 4

Which specific section has information on auditing interim financial statements?

Answer 4

Section 7060 - in the specialized areas section

Question 5

Where is the information on compilations?

Answer 5

Section 9200

Question 6

What is the CPAB mandate?

Answer 6

Contributes to public confidence in financial statement audits in Canada

Question 7

Who is responsible for securities regulations in Canada?

Answer 7

The provinces and territories

Question 8

How often are firms assessed by CPAB?

Answer 8

Annually (for 100 or more reporting issuer clients)
Every 2 years (firms between 50-99 reporting issuer clients)
Every 3 years (firms with less than 50 reporting issuer clients)

Question 9

What are the three levels of disciplinary action CPAB can issue?

Answer 9

Requirement - the action remains private between CPAB and the audit firm
Restriction - if the firm’s reporting issuers are registered, the firm must notify them of the discipline
Sanction - the firm must notify all of it’s issuers audit committees of the discipline