Answered: A company cannot choose whether a…

A company cannot choose whether a mandatory information should be provided in the administration report or in notes choose an alternative True False

Auditing: A Risk Based-Approach (MindTap Course List)

11th Edition

ISBN:9781337619455

Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Chapter5: Professional Auditing Standards And The Audit Opinion Formulation Process

Section: Chapter Questions

Problem 40CYBK

See similar textbooks

Related questions

Q: Which of the following is false about accounting information systems?A. They provide reports that…

A: Accounting is the process of recording, classifying and summarising accounting information in order…

Q: Indicate which statements are true and which are false. Separating the responsibility for a…

A: Separating the responsibility for a transaction between two or more individuals or departmentswill…

Q: Information is immaterial if omitting it or misstating it could influence decisions that users make…

A: Materiality is determined by considering both quantitative and qualitative factors.

Q: Set policies on internal control Both c) and e)

A: Answer - Set policies on internal control Both c) and e)

Q: The auditor noticed that the financ statements of XYZ Company were some footnotes important for…

A: Accounting Concept are basic assumption,rules or principleyhat are mandatory and followed by a…

Q: ndicate which of the following claims is true and which is untrue. Distinguishing responsibility for…

A: An invoice is an instrument that is used to record a transaction between the buyer and the seller.

Q: Under what circumstances can you envision management using alternative one rather than alternative…

A: We’ll answer the second question since we require more information to answer first question. Please…

Q: When an auditor qualifies an opinion because of inadequate disclosure, the auditor should describe…

A: An auditor auditing the financial statement is required to those proper disclosures have been made.…

Q: Examples of segregation of duties include reporting, reviewing and approving reconciliations, and…

A: Segregation of duties is assigning the particular duties to each person, to avoid a single person…

Q: One aspect of internal control requires companies to maintain adequate documentation and records.…

A: Internal controls procedures are those procedures which are established for achievement of…

Q: The report on internal control required by the Sarbanes-Oxley Act of 2002 may be prepared by either…

A: Answer is False ,

Q: Under IFRS, the retrospective approach should not be used if: a. retrospective application…

A: International Financial Reporting Standards (IFRS): International Financial Reporting Standards is a…

Q: True or false, the individual posting account balance right offs should be given complete authority…

A: The write-off refers to the amount that is deducted from the receivables balance because this is the…

Q: In a review engagement the public accountant provides negative assurance in the report which is…

A: An limited assurance or negative engagement or review engagements are conducted by the auditor after…

Q: Non-compliance does not include a. Professional misconduct b. Personal misconduct c. Unintentional…

A: Non-compliance means failure to comply with a rule.

Q: Which may not be shown in an auditor's report of a non listed entity? A. Auditor's address B.…

A: This question is answered as per ISA 701

Q: Under what circumstances can you envision management using alternative one rather than alternative…

A: Under what circumstances can you envision management using alternative ones rather than alternative…

Q: Companies set up internal controls to protect against fraud and waste. Select one: True False

A: Internal control, as characterized in accounting and auditing, is a procedure for guaranteeing…

Q: One of the requirements of financial statements is that they should be free from material error.…

A: Financial statements are statements prepared at the end of the year to analyse and review…

Q: What is EDGAR?a. A system the SEC uses to reject registration statements that do not contain…

A: EDGAR: EDGAR is a system designed to gather electronic data, analyze and retrieve the data.…

Q: t is generally acceptable for analytical procedures to be the only audit procedure used to test…

A: solution concept analytical procedure Analytical procedure used as a audit procedure…

Q: which of these substantive procedures is not used to obtain evidence about contingencies?a. Scanning…

A: Contingencies are the future expectation of losses which can happen in the organisation. Auditor…

Q: The prospective auditor can contact the predecessor auditor without the client approval. True O…

A: Auditor:- He is a person who is appointed to conduct a fair audit for the company and serve true and…

Q: When auditors wish to issue an unmodified opinion but highlight that the entity changedits method of…

Q: A company limits access to computerized accounting records. What can be said of this procedure? a.It…

A: Limited Access Control: Limited access control is a type of control that provides limited access to…

Q: Which of the following is NOT an example of externally generated evidence sent directly to the…

A: Audit evidence refers to data obtained by an auditor for arriving at his judgment while performing…

Q: Accounting standards require that the statement of financial position be prepared on a classified…

A: Classified balance sheet: The main elements of balance sheet assets, liabilities, and stockholders’…

Q: Departmental reports are used for internal management only; therefore the accounting rules for…

A: The correct answer is “True”.

Q: what happen when the company do not do audit in their financial statement?

A: Auditing: Independent examination of the financial information of the organisation.

Q: Assuming that the data collected in the accounting information system is free from material errors…

A: The information recorded in accounting system can face several risks like inherent risk and control…

Q: For which of the following matters should an auditor obtain written management representations?…

A: Solution: Auditor should obtain written management representations with respect to "Management’s…

Q: When processing controls within the accounting information system may not leave visible evidence…

A: When processing controls within the accounting information system may not leave visible evidence…

Q: Which of the following is NOT a general control?* a. Backup of live data b. Use of passwords c.…

A: For data protection and IT security, various types of internal controls is implemented by the…

Q: The following statements relate to nature of positive and negative confirmation requests. Which…

A: Concept Positive confirmation request External confirmation request where the debtor…

Q: Vendor invoices are recorded for items that were never ordered by the company. Which of the…

A: If the invoices are recorded for items that were never ordered by the company then such an issue can…

Q: Which report would not be appropriate for a public accounting firm to provide on financial reporting…

Q: An internal control system where obligations by the company should be liquidated only by checks. A.…

A: Internal controls are the methods used by a company for the integrity of financial statements and…

Q: y audit matters may be included in a nonpublic company audit report with Disclaimer of Adverse…

A: An audit report refers to the written document formulated by an auditor which reflects his/her…

Q: Some accountants argue that the receiving department should be eliminated. Discuss the objective of…

Q: Statement: "In the context of audit, the concept of true and fair is defined in the Commercial…

A: The concept of true and fair has not been defined under nay statute or any law or any case law. The…

Q: Allowing only certain employees to order goods and services for the company is an example of what…

A: The question talks about internal control procedure and seeks to know that the scenario listed is an…

Q: In the context of documentation of the audit procedures performed and audit evidence obtained the…

A: Audit documentation Enable the engagement team to be accountable for its work.

Q: describe accounting warning signs and methods for detecting manipulation of informationin fi nancial…

A: Accounting warning signs are the indication that the financial statements are going to manipulation…

Q: Choose the correct. What is EDGAR?a. A system the SEC uses to reject registration statements that do…

A: EDGAR: EDGAR is a system designed to gather electronic data, analyze and retrieve the data.…

Q: ow they are reported. What are the disclosure requirements for correction of errors. Please see…

A: Accounting Errors : A non-fraudulent inconsistency in financial documents is referred to as an…

Q: An item or information is said to be material if misstatement of which can influence the ___ a.…

A: A material misstatements refers to an incorrect information depicted on the financial statements.…

Q: Which of the following statements is/are correct? Statement I. Current professional auditing…

A: The internal auditors are the professionals employed by the entities so as to ensure that the…

Q: Under which of the following circumstances would a disclaimer of opinion not beappropriate?(1) The…

A: From the various given statements we have to find out the circumstances where a disclaimer of…

Question

A company cannot choose whether a mandatory information should be provided in the administration report or in notes

choose an alternative

True

False

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps with 1 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

describe accounting warning signs and methods for detecting manipulation of informationin fi nancial reports.
True or false, the individual posting account balance right offs should be given complete authority to do so without superior approval
Which of the following statements is incorrect? The practice of management accounting is fairly flexible. The information gathered from management accounting is not required by law. Management accounting focuses mainly on the internal user. Reports produced using management accounting must follow GAAP.
Which of the following is false about accounting information systems? A. They provide reports that people analyze. B. They prevent errors and stop employees from stealing inventory. C. They are designed to gather data about the companys transactions. D. They consist of processes that involve input of data from source documents, processing, output, and storage.
What are the requirements of Staff Accounting Bulletin No. 108 for evaluating the performance materiality of these misstatements?
What is the most important quality for accounting information as identified in the conceptual framework? Explain why it is the most important. Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
Compiled financial statements may omit note disclosures. True or False?
Which of the following is not one of the general ledger and reporting activities? A. Updating the general ledger by posting entries from the accounting subsystems and treasurer B. Posting adjusting entries to the general ledger C. Preparation of managerial reports D. Recording entries in general journal
Which transaction should not be recorded using the Expense or Check onscreen form?
Which of the following statements is/ are not true? Financial accounting information can be used for internal reporting purposes. Routine information can be used to make decisions regarding both long term and the short term. Management accounting provides information relevant to decision making, planning, control and evaluation of performances. Cost accounting can only be used to provide inventory valuations for internal reporting.
Which of the following statements is incorrect? a.Management accounting focuses mainly on the internal user. b.The information gathered from management accounting is not required by law. c.The practice of management accounting is fairly flexible. d.Reports produced using management accounting must follow GAAP.
Can you explain how the internal control of Documentation Procedure is violated in this question? after payment, bills are filed in a "paid invoice" folder.