A review of working papers found that some working papers had not been signed off by the team member that had completed the work. Some working papers were not dated, and some did not have a signature confirming they had not been reviewed. Petra Company A mandatory procedure included in the audit plan which required a written representation letter to be obtained, had not been completed. A comment had been added by the audit manager stating that there were no issues requiring a written representation from management. Jantra Company An audit test over purchases required a sample of 60 invoices to be tested. 54 had been tested and found to be recorded accurately and completely. Six (6) invoices could not be found. No further invoices were identified for testing and a conclusion was drawn based on the 54 items tested. Mantra Company The audit of a material provision was performed by the audit junior as the audit manager was too busy finishing off work for the previous client on which they had been working. Nuna Company The planning section of the file has not been completed. The audit procedures performed were copied over from the previous year's file and the same approach and sample sizes have been used to conduct this year's audit. You are required to: Describe the quality control issues arising from cach of the findings.
A review of working papers found that some working papers had not been signed off by the team member that had completed the work. Some working papers were not dated, and some did not have a signature confirming they had not been reviewed. Petra Company A mandatory procedure included in the audit plan which required a written representation letter to be obtained, had not been completed. A comment had been added by the audit manager stating that there were no issues requiring a written representation from management. Jantra Company An audit test over purchases required a sample of 60 invoices to be tested. 54 had been tested and found to be recorded accurately and completely. Six (6) invoices could not be found. No further invoices were identified for testing and a conclusion was drawn based on the 54 items tested. Mantra Company The audit of a material provision was performed by the audit junior as the audit manager was too busy finishing off work for the previous client on which they had been working. Nuna Company The planning section of the file has not been completed. The audit procedures performed were copied over from the previous year's file and the same approach and sample sizes have been used to conduct this year's audit. You are required to: Describe the quality control issues arising from cach of the findings.
Auditing: A Risk Based-Approach to Conducting a Quality Audit
10th Edition
ISBN:9781305080577
Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Chapter14: Activities Required In Completing A Quality Audit
Section: Chapter Questions
Problem 28MCQ
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Question
Transcribed Image Text:A review of working papers found that some working papers had not been signed off by
the team member that had completed the work. Some working papers were not dated, and
some did not have a signature confirming they had not been reviewed.
Petra Company
A mandatory procedure included in the audit plan which required a written representation
letter to be obtained, had not been completed. A comment had been added by the audit
manager stating that there were no issues requiring a written representation from
management.
Jantra Company
An audit test over purchases required a sample of 60 invoices to be tested. 54 had been
tested and found to be recorded accurately and completely. Six (6) invoices could not be
found. No further invoices were identified for testing and a conclusion was drawn based
on the 54 items tested.
Mantra Company
The audit of a material provision was performed by the audit junior as the audit manager
was too busy finishing off work for the previous client on which they had been working.
Nuna Company
The planning section of the file has not been completed. The audit procedures performed
were copied over from the previous year's file and the same approach and sample sizes
have been used to conduct this year's audit.
You are required to:
Describe the quality control issues arising from cach of the findings.
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