Download LSU ACCT 3222 Laura Wiley - Chapter 1 Exam 1 Questions With 100% Correct Answers 2024 and more Exams Advanced Education in PDF only on Docsity! LSU ACCT 3222 Laura Wiley - Chapter 1 Exam 1 Questions With 100% Correct Answers 2024 any independent service that improves the quality of information (financial or non-financial) - Correct Answer- Assurance Services What two other services fall under the umbrella of Assurance services? - Correct Answer-1. Attestation Services 2. Audit Services Name the 4 other services of Assurance services: - Correct Answer-1. Risk advisory services 2. Compliance with EPA standards 3. Website security 4. Data integrity independent CPA (or practitioner) reports on subject matter (usually financial related info) prepared by someone else - Correct Answer-Attestation services pg. 1 professoraxe l Is audit an attestation service? - Correct Answer-yes 3 services of attestation services: - Correct Answer-1. Examination of financial forecast 2. Review of historical FS 3. Examination of control process T/F: Attestation services only focus on historical financial reporting. - Correct Answer-FALSE - they focus on future, historical, and IC reporting Name 2 services that fall under the Audit Service umbrella: - Correct Answer-1. Historical FS 2. Internal Controls Who makes GAAP? - Correct Answer-FASB What does ASB stand for? - Correct Answer-Auditing Standards Board Who created/is in charge of ASB? - Correct Answer-AICPA pg. 2 professoraxe l the risk that an auditor expresses an inappropriate audit opinion when the financial statements are materially misstated - Correct Answer-audit risk for a private company, when auditors have determined the financial statements are presented fairly in accordance with the applicable financial reporting framework, they issue: - Correct Answer-the standard unmodified report for a public company, when auditors have determined the financial statements are presented fairly in accordance with the applicable financial reporting framework, they issue: - Correct Answer-the standard unqualified report issue CPA licenses, adopt and enforce professional conduct rules for CPAs, enforce continuing professional education requirements, and administer disciplinary actions - Correct Answer-State Boards of Accounting brings state boards together to discuss issues in each state and possible solutions - Correct Answer-NASBA pg. 5 professoraxe l Who handles applications and administrative work for CPA exams? - Correct Answer-NASBA Who makes the CPA exam? - Correct Answer-AICPA Why do we have standards? - Correct Answer-uniformity, which creates more reliable FS and to measure the quality of the audit work Requirements (list) on unmodified audit report (private): - Correct Answer-1. State "Independent" Auditor's Report 2. Address who it is for 3. Report on FS - auditors did NOT write the FS 4. Management's Responsibility for FS 5. Audits Responsibility (in accordance with ASB; how audit is done) 6. State Opinion 7. State who performed the audit 8. End of field work date pg. 6 professoraxe l Requirements (list) on unqualified audit report (public): - Correct Answer-1. Report of Independent Registered with Public Accounting firm 2. Address owners of Co (BOD, shareholders Opinion on FS: 3. Audited in accordance w GAAP 4. Internal Control Report Basis for Opinion: 5. Responsibility of Management 6. what an audit is/ how they did it 7. Sign who performed audit 8. End of Field work date 9. State how long the audit firm has audited the client Requirements (list) on ICFR for unqualified report for public: - Correct Answer-1. Report Independent Registered Public Accounting Firm pg. 7 professoraxe l
