How will this situation affect the evidence you should accumulate in auditing fixed assets as compared with another audit in which the controls are excellent? Be as specific as possible.

Q: Respond to each of the following comments that you heard related to the audit of Swan Company, a…

A:

Q: In connection with the audit of financial statements, an independent auditor could be responsible…

A: Option A is the correct answer.

Q: In which of the following situations would observation not provide the most compelling audit…

A: Introduction:- Audit evidence includes all of the information used by the auditor to support the…

Q: Auditors of financial statements are designed to obtain reasonable assurance of detecting material…

A: The auditor is required to obtain reasonable assurance that financial statements aa a whole are free…

Q: The audit report provides reasonable assurance that thefinancial statements are free from material…

A: Introduction Audit report: The auditor's report expresses the auditor's judgment about the accuracy…

Q: Which of the following is least likely to be a factor that might indicate to an auditor that an…

A: special considerations are used by auditors where there is a high risk of material misstatements in…

Q: Written representations are considered audit evidences.

A: Note: Since you have asked multiple questions, we will solve the first question for you. If you want…

Q: My question is on auditing where I want to know whether the audit evidence is sufficient and…

A: Answer: There is one standards on audit for audit evidences which describes that audit evidence…

Q: appropriate audit opinion

A: Every material items should be properly disclosed in the financial statements so as to enable the…

Q: Why do you think auditors were not able to detect the fraud in their previous audit

A: Auditing:   Auditing refers to an independent examination of financial information of any…

Q: An auditor is examining a nonpublic company’s inventory procurement system and has decided to…

A: Auditing is a gathering of information and evaluation of evidence as to report on the degree of…

Q: An auditor discovered the following matters while performing tests of controls: 2.A purchase of raw…

A: a)Control - Enforcing clear record-keeping and documentation procedures.

Q: A company has been making losses on its operations due to many factors such as competition,…

A: Professional Skepticism: To demonstrate professional skepticism implies to have a questioning…

Q: which of the following regarding errors is correct Select one: a. intentional misstatement of the…

A: The financial statements are said to reflect the correct and accurate picture of the company when…

Q: not a procedure used by an auditor in searching for unrecorded disposals of long-lived assets?

A: Option a is wrong because the examination of property tax records provides information on tax on…

Q: ZZZ best fraud case, auditors obtained third party confirmation to support the contract, reviewed…

A: Audit procedure: Auditor applies procedures to perform audit engagement. These procedures include…

Q: which of the following regarding errors is correct Select one: a. it is easier for the auditor to…

A: Ans. Errors can be of two types - i. Intentional error ii. Unintentional error Intentional errors…

Q: For the following independent situations, assume that you are the audit partner on the engagement:…

A: The following situation is assessed and its effect on the financial statements of the company.

Q: Upon conclusion of the audit of Marrow Enterprises, the audit firm noted that they have been unable…

A: The auditors audit the financial statement and issue an opinion report that includes the fact that…

Q: If the auditor plans to assess control risk at less than the maximum and rely on controls, and the…

A:

Q: To assess the risks of material misstatement with respect to Owners’ Equity Accounts, please…

A: The main thing for  implementing controls  are to avoid frauds in the organisation. Risk in auditing…

Q: Which of the following best describes the reason why an independent auditorreports on financial…

A: Auditing is a systematic process of analyzing, verifying, and quantifying any given information. It…

Q: Which of the following statements is incorrect?

A: In order to authenticate the financial statements which has been prepared by the company and in…

Q: Which of the following best describes why auditors audit leased assets in conjunction with the audit…

A: The question is related to the audit of leased assets. Lease is an agreement between two parties…

Q: -8. Assume, that the auditor decideș to only, perform substantive tests of details when auditing the…

A: The Correct option is - (c) - It means in both the situations given in option (a) and in option (b)…

Q: Decide for yourself which of the following statements is correct and which is incorrect. The…

A: Whether or whether a statement is true or untrue is determined by this information.

Q: Assume that the client’s internal controls over the recordingand classifying of fixed asset…

A: Fixed asset additions can be examine through supporting documents i.e. invoices and can conduct…

Q: The company you audited recently did not have any knowledge in asset management and therefore does…

A: Assets Management Basically, in any form of organisation proper management of investment which are…

Q: acquisition and disposals were approved by people coming from the accounting department. Which…

A: The concept of segregation of duties considered to be a key internal control and its Paramount to…

Q: Applying substantive tests to the details of asset and liability accounts as of an interim date,…

A: SOLUTION- Substantive testing is an audit procedure that examines the financial statements and…

Q: Which of the following approaches is most suitable for auditing the finance and investment cycle?a.…

A:

Q: Which of the following statements is correct about the reliability of audit evidence? a.…

A: Audit evidence means evidence or supportings that is obtained by auditor during the course of audit.…

Q: Assume a third party such as a successor audit firm quickly discovers a fraud that the predecessor…

A: Ethics can be defined as a conduct adopted by an individual in making the selection between right…

Q: Which of the following is not a scope of internal auditors? Efficient Use of Resources Should work…

A: Internal auditors are the professionals appointed by the businesses to ensure the operational…

Q: Discuss the concept of professional skepticism and its importance in audit.

A: Professional skepticism is defined as a questioning mindset, being aware of events that may signal a…

Q: Required For each of the questions above, answer the following: a) State the purpose of the internal…

A: Here asked for multi sub part question we will solve for first three sub part question for you.  If…

Q: Which of the following would probably not be considered an indication of a material weakness?a.…

A:

Q: explain. If, after obtaining an initial understanding of a client's internal control, the auditor…

A: Audit refers to the inspection of the company records or the financial information in order to check…

Q: When completing the audit of internal controls for an issuer, the severity of an internal control…

A: Internal control is the managements’ effective and efficient controls for achieving goals and…

Q: Audit sampling should not be applied to which of the following audit procedures?   A. Physically…

A: Audit sampling is the procedure that is applied to the selected item of the population to form an…

Q: Which of the following statements is incorrect? A. As the risk of material misstatement in the…

A: It is important for the Auditors to detect the material misstatement which are involved to the…

Q: If an auditor tours a production facility, which of the misstatements of questionable  practices is…

A: In the Production Facility, the auditor would most likely detect that necessary facility maintenance…

Q: Which of the following statements describes why a properly designed and executedaudit may not detect…

A: Auditing: Auditing is the process by which assertions made by management about financial…

Q: The risk of not detecting a misstatement resulting from fraud is greater than that resulting from…

A: Audit is the process of verifying books of accounts and financial statements of business and it…

Q: 1)Which of the following factors most likely would cause an auditor to decline a new audit…

A: Solution Note : As per the Q&A guideline we are required to answer the first question only .…

Q: As a result of management's refusal to permit the auditor to physically examine inventory,…

A: When auditor is restricted from obtaining sufficient audit evidences in relation to any item of…

Q: Give examples and practice on the situation of auditing fixed assets at the client as follows (in…

A: First we should what is auditing fixed assets: The  fixed asset audit procedures are for those…

Q: Audit firms may have a standardized audit programs for auditing long-lived assets but auditors must…

A: The financial statements may contain misstatements, and any other fraudulent activities and auditing…