EBK AUDITING AND ASSURANCE SERVICES
16th Edition
ISBN: 9780134067117
Author: Hogan
Publisher: VST
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Question
Chapter 7, Problem 5RQ
To determine
Describe the reason for auditor to persuade only reasonable level of assurance rather than convinced.
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Chapter 7 Solutions
EBK AUDITING AND ASSURANCE SERVICES
Ch. 7 - Prob. 1RQCh. 7 - Prob. 2RQCh. 7 - Prob. 3RQCh. 7 - Prob. 4RQCh. 7 - Prob. 5RQCh. 7 - Prob. 6RQCh. 7 - Prob. 7RQCh. 7 - Prob. 8RQCh. 7 - Prob. 9RQCh. 7 - Prob. 10RQ
Ch. 7 - Prob. 11RQCh. 7 - Prob. 12RQCh. 7 - Describe the liquidity activity ratios and explain...Ch. 7 - Prob. 14RQCh. 7 - Prob. 15RQCh. 7 - Prob. 16RQCh. 7 - Prob. 17RQCh. 7 - Prob. 18RQCh. 7 - Define what is meant by a tick mark. What is its...Ch. 7 - Prob. 20RQCh. 7 - Prob. 21.1MCQCh. 7 - Prob. 21.2MCQCh. 7 - Prob. 21.3MCQCh. 7 - Prob. 22.1MCQCh. 7 - Prob. 22.2MCQCh. 7 - Prob. 22.3MCQCh. 7 - Prob. 23.1MCQCh. 7 - Prob. 23.2MCQCh. 7 - Prob. 23.3MCQCh. 7 - Prob. 24.1MCQCh. 7 - Prob. 24.2MCQCh. 7 - Prob. 24.3MCQCh. 7 - Prob. 25DQPCh. 7 - Prob. 26DQPCh. 7 - Prob. 27DQPCh. 7 - Prob. 28DQPCh. 7 - Prob. 29DQPCh. 7 - Prob. 30DQPCh. 7 - Following are 10 audit procedures with words...Ch. 7 - Prob. 32DQPCh. 7 - Prob. 33DQPCh. 7 - Prob. 34DQPCh. 7 - You are auditing payroll for the Morehead...Ch. 7 - Prob. 36DQPCh. 7 - Prob. 38C
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Similar questions
- Define the danger of substantial misrepresentation. RMM is measured by auditors at what level of the financial statements? Explain how auditors evaluate the RMM. What part of substantive testing does RMM play?arrow_forwardWhy is the risk that the auditor might make a mistake in expressing a modified opinion on financial statements, which are in reality, free from material misstatements and are fairly presented considered a business risk?arrow_forwardWhich of the following statements about materiality is considered true? a. Materiality is judged by the auditor using his professional knowledge and experience since materiality of an item varies with circumstances. b. Materiality could never influence the economic decisions of users taken on the basis of the financial information. c. The auditor should consider materiality but not its relationship with audit risk when conducting an audit. d. The size and nature of the item will not determine its materiality.arrow_forward
- Which of the following statements is true? Select one: a. If evidence is subjective, it cannot be reliable b. Evidence must be relevant to all of the audit objectives c. Evidence obtained directly by the auditor may not be reliable if the auditor lacks the qualifications to evaluate the evidence. d. The persuasiveness of evidence can be evaluated after considering its sufficiencyarrow_forwardCan the auditor obtain more audit evidence to compensate for the lack of perceived appropriateness (quality) of the evidence which is available?arrow_forwardWhat type of opinion is issued by the auditorr if he or she is unable to determine the overall fairness of the financial statements?arrow_forward
- Which of the following statements is incorrect regarding the reliability of audit evidence? a. While internal audit evidence is considered to be acceptable, the auditor usually prefers audit evidence form external sources. b. Oral representation by the client management is not a valid evidence. c. The effectiveness of accounting and internal control adds to the reliability of internal evidence. d. Audit evidence obtained directly by the auditor is more reliable than that one provided by the client.arrow_forward2. To express an opinion on financial statements, the auditor obtains reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error. Select one:TrueFalsearrow_forwardTRUE OR FALSE? If the auditor has obtained a reasonable level of assurance about the fair presentation of the financial statements through understanding the internal control, assessing control risks, testing controls, substantive tests of transactions, and analytical procedures, then the auditor can issue an unqualified opinion.arrow_forward
- Why should receiving reports be prenumbered in the first place? With the help of the receiving reports, what assertions would an auditor test, and how would the auditor go about doing so?arrow_forwardWhat steps should auditors take if during a compilation engagement they become aware that the financial statements are misleading?arrow_forwardWhy do auditors use the words "present fairly " rather than "correct "arrow_forward
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