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Tugas Audit Fix Bener Semua PDF
Tugas Audit Fix Bener Semua PDF
MULTIPLE CHOICE
Which of the following would an auditor most likely use in determining the 10/10
auditor’s preliminary judgment about materiality? *
Materiality judgments make sure that the auditor gathers sufficient evidential matter
to obtain reasonable assurance about whether the financial statements are free of
material misstatement.
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To determine the appropriate level of audit experience required for the work.
So that the client can know what records to make available to the auditor.
To plan the appropriate audit evidence to accumulate and develop an overall audit
strategy.
Tolerable materiality
Tolerable misstatement
The preliminary judgment about materiality is the _________ amount by which 0/10
the auditor believes the statements could be misstated and still not affect
the decisions of reasonable users. *
Minimum
Maximum
Mean average
Median average
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Judgments about materiality are made in the light of surrounding circumstances, and
are affected by the size or nature of a misstatement, or a combination of both
Judgments about matters that are material to users of the financial statements are
based on a consideration of the common financial information needs of users as a
group. The possible effect of misstatements on specific individual users, whose
needs may vary widely, is not considered.
Permitted
Required
Not allowed
Strongly encouraged
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Both a and b
Neither a nor b
Rp100,000
Rp150,000
Rp200,000
Rp300,000
True, True
False, False
False, True
True, False
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The elements of the financial statements (e.g., assets, liabilities, equity, income,
expenses)
Whether there are items on which the attention of the users of the particular entity’s
financial statements tends to be focused (e.g., for the purpose of evaluating financial
performance users may tend to focus on profit, revenue or net assets);
The nature of the entity, where the entity is at in its life cycle, and the industry and
economic environment in which the entity operates;
Materiality
Reliability
Relevance
Misstatement
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Which of the following is least likely to be appropriate as the basis for 10/10
determining the preliminary judgment about materiality in the audit of
financial statements? *
Current assets
Owners’ equity
Inventory
Inherent risk is the auditor’s assessment of the likelihood that errors exceeding a
tolerable amount exist in a segment before considering the effectiveness of internal
controls.
In the audit risk model, which of the risk components can be assessed by the 0/10
auditor? *
Inherent risk.
Control risk.
Detection risk.
Both A and B.
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inventory.
marketable securities.
cash.
accounts receivable.
The greater the inherent and control risks the auditor believes exists, the less
detection risk that can be accepted
The auditor might separate or combined assessments of inherent risk and control risk
Inherent risk and control risk differ from detection risk in that inherent risk 10/10
and control risk *
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Reduced
Equal
Undetermined
Increased
Why should the auditor plan more work on individual accounts as lower 10/10
acceptable levels of both audit risk and materiality are established? *
When discussing control risk (CR) and the audit risk model, which of the 10/10
following is false? *
The relationship between control risk and evidence needed to support account
balances is direct.
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If an auditor establishes a relatively high level for materiality, then the 10/10
auditor will: *
accumulate approximately the same evidence as would be the case were materiality
lower.
Which of the following best describes the relationship between IR, CR, and 10/10
DR?
IR and CR do not vary from assertion to assertion, but DR does vary from assertion to
assertion.
Auditing standards _____ that the basis used to determine the preliminary 10/10
judgment about materiality be documented in the audit files. *
Permit
Do not allow
Require
Strongly encourage
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In general, the more misstatements the auditor expects, the higher should be the
aggregate materiality threshold.
The smallest aggregate level of errors or fraud that could be considered material to
any one of the financial statements is referred to as a "materiality threshold."
Materiality thresholds may change between the planning and review stages of the
audit. These changes may be due to quantitative and/or qualitative factors.
Which of the following statements is true with regard to the relationship 10/10
among audit risk, audit evidence, and materiality? *
The lower the inherent risk and control risk, the lower the aggregate materiality
threshold.
Under conditions of high inherent and control risk, the auditor should place more
emphasis on obtaining external evidence and should reduce reliance on internal
evidence.
Where inherent risk is high and control risk is low, the auditor may safely ignore
inherent risk.
Aggregate materiality thresholds should not change under conditions of changing risk
levels.
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In the audit risk model, its risk components are either determined, assessed, 0/10
or manipulated. Which of the following risks are controllable by the auditor? *
Audit risk.
Control risk.
Detection risk.
Both A and C.
Under which of the following conditions would you consider lowering 0/10
individual item materiality thresholds *
Study of the business and industry, together with the application of analytical
procedures, reveals that the client has enjoyed a surge in sales and gross profit during
an industry downturn.
Application of analytical procedures shows that the client's gross profit rate is
significantly below last year and also is materially lower than the industry average.
Study of internal controls within the revenue cycle reveal material weaknesses.
Study of internal controls within the payroll cycle confirm the auditor's belief that few
errors have occurred.
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Which of the following statements is not true regarding audit risk 10/10
assessment? *
The auditor studies the business and industry and applies analytical procedures as a
basis for assessing inherent risk.
When control risk and inherent risk are high, the auditor increases detection risk to
maintain overall audit risk at the desired level.
The auditor studies and evaluates internal control policies and procedures for
assessing control risk.
The materiality level for the financial statements as a whole (or the 10/10
materiality level for a particular class of transactions, account balance or
disclosure, if applicable) may need to be revised (adjusted either downward
or upward) as a result of the following *
new information
a change in the auditor’s understanding of the entity and its operations as a result of
performing further audit procedures.
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The risk that the auditor gives an inappropriate audit opinion when the financial
statements are materially misstated.
The risk that a misstatement, that could occur in an account balance or class of
transactions and that could be material individually or when aggregated with
misstatements in other balances or classes, will not be prevented or detected and
corrected on a timely basis by the accounting and internal control systems.
The risk that an auditor's substantive procedures will not detect a misstatement that
exists in an account balance or class of transactions that could be material,
individually or when aggregated with misstatements in other balances or classes.
Assume that control risk = 0.70, inherent risk = 0.80, and audit risk = 0.05. If 10/10
a material misstatement occurred and was not corrected by the auditee’s
internal controls, what is the risk that the misstatement would not be
detected by the audit procedures? *
0.02
0.07
0.09
0.50
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Yes,Yes,Yes
No,Yes,Yes
Yes, Yes,No
Yes, No,Yes
The audit risk model does not adequately consider external forces on the client
organization.
Components of audit risk are treated as independent variables even though many
interdependencies exist between them.
Control risk must be adjusted at the hands of the auditor, not by an arbitrary
estimation.
Audit risk consists of inherent risk, control risk, and detection risk. Which of 10/10
the following statements is true? *
Cash is more susceptible to theft than an inventory of coal because it has a greater
inherent risk.
The risk that material misstatement will not be prevented or detected on a timely
basis by internal control can be reduced to zero by effective controls.
The existing levels of inherent risk, control risk, and detection risk can be changed at
the discretion of the auditor.
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Apply the planned substantive tests prior to the balance sheet date.
Perform the planned auditing procedures closer to the balance sheet date.
Increase the assessed level of control risk for relevant financial statement assertions.
risk that the sample does not accurately represent the population * 0/10
engagement risk
sampling error
control risk
The concept of materiality recognizes that some matters are important for fair
presentation of financial statements in conformity with GAAP, while other matters are
not important.
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Errors.
Fraud.
Illegal acts.
Business risk.
Which of the following would an auditor most likely use indetermining the 10/10
auditor’s preliminary judgment about materiality? *
How can the audit program best be described at the beginning of the audit 10/10
process *
Tentative
Conclusive
Comprehensive
Optional
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Internal control.
Corroborating evidence.
Quality control.
Audit risk.
Which of the following journal entries would the auditor least likely examine 10/10
in an effort to address the risk of management override of controls? *
A journal entry made by an individual who does not typically make journal entries.
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The risk that an auditor will conclude, based on substantive tests, that a 10/10
material misstatement does not exist in an account balance when, in fact,
such misstatement does exist is referred to as *
Sampling risk.
Detection risk.
Nonsampling risk.
Inherent risk.
On the basis of the audit evidence gathered and evaluated,an auditor 10/10
decides to increase the assessed level of control risk from that originally
planned. To achieve an overall audit risk level that is substantially the same
as the planned audit risk level,the auditor would *
When issuing an unmodified opinion, the auditor whoevaluates the audit 10/10
findings should be satisfied that the *
Estimate of the total likely misstatement includes the adjusting entries already
recorded by the client.
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Reduce substantive testing by relying on the assessments of inherent risk and control
risk.
Postpone the planned timing of substantive tests from interim dates to the year-end.
Eliminate the assessed level of inherent risk from consideration as a planning factor.
Lower the assessed level of control risk from the maximum level to below the
maximum.
Parallel.
Inverse.
Direct.
Equal.
As the acceptable level of detection risk decreases, the assurance directly 10/10
provided from *
Forms
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