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Category: Accounting

A careful reading of an unmodified opinion audit report indicates sev- eral important phrases. Explain why each of the following phrases or clauses is used rather than the alternative provided

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MULTIPLE CHOICE QUESTIONS FROM BECKER CPA EXAM REVIEW 3-22 (OBJECTIVES 3-5, 3-7, 3-8) The following questions concern audit reports other than un-modified opinion audit reports with standard wording. Choose the best response. a. As compared to an unmodified opinion, an opinion qualified due to a material de-parture from generally accepted accounting principles would (1) include […]

Which of the following is not a required element of a standard unmodified opinion audit report issued in accordance with AICPA auditing standards?

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MULTIPLE CHOICE QUESTIONS FROM CPA EXAMINATIONS 3-20 (OBJECTIVES 3-1, 3-2, 3-3, 3-4, 3-8) The following questions concern unmodified opinionaudit reports. Choose the best response. a. Which of the following is not a required element of a standard unmodified opinionaudit report issued in accordance with AICPA auditing standards? (1) A title that emphasizes the report is […]

Explain why auditors’ reports are important to users of financial statements and why it is desirable to have standard wording.

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REVIEW QUESTIONS 3-1 (OBJECTIVE 3-1) Explain why auditors’ reports are important to users of financial state-ments and why it is desirable to have standard wording.3-2 (OBJECTIVE 3-1) What are the purposes of the opinion section in the auditor’s report?Identify the most important information included in the opinion section.3-3 (OBJECTIVE 3-1) What are the purposes of […]

What are the three conditions that require a departure from an unmodified opinion audit report? Give an example of each.

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INTERNATIONAL ACCOUNTING AND AUDITING STANDARDS 1.What are the three conditions that require a departure from an unmodified opinionaudit report? Give an example of each. 2. What are the three alternative opinions that may be appropriate when the client’sfinancial statements are not in accordance with GAAP? Under what circumstance is eachappropriate

What are the most significant differences between the AICPA and the PCAOB standard unmodified opinion audit reports?

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UNMODIFIED OPINION AUDIT REPORT WITH EMPHASIS-OF-MATTER EXPLANATORY PARAGRAPH OR NONSTANDARD REPORT WORDING What are the eight parts of a standard unmodified opinion audit report for a nonpublicentity and what is the main content provided in each part? 2. What are the most significant differences between the AICPA and the PCAOB standardunmodified opinion audit reports? 3. […]

For the largest 10 firms listed in the table, how many firms generate the largest percentage of their revenue from consulting? Discuss why some firms may have larger consulting practices than other firms.

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ASSIGNMENT Briefly outline key points that you would make in your presentation to address thesequestions. 2-19 (OBJECTIVE 2-6) For each engagement described below, indicate whether the engage-ment is likely to be conducted under international auditing standards, AICPA auditingstandards, or PCAOB auditing standards. a. An audit of a public company headquartered in the U.S. listed only […]

Given the CPA firm is auditing financial statements, why would they need to under- stand anything about the client’s business?

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DISCUSSION QUESTIONS AND PROBLEMS 2-16 (OBJECTIVE 2-7) Sarah O’Hann enjoyed taking her first auditing course as part of her undergraduate accounting program. While at home during her semester break, she and her father discussed the class, and it was clear that he didn’t really understand the nature of the audit process as he asked the […]

Which of the following provides authoritative guidance for the auditor of a nonpublic company?

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MULTIPLE CHOICE QUESTIONS FROM BECKER CPA EXAM REVIEW 2-15 (OBJECTIVES 2-3, 2-4, 2-6, 2-7) The following questions address CPA firms and entitiesthat regulate them. Choose the best response. a. An auditor of an entity subject to the rules of the SEC must conduct the financialstatement audit in accordance with(1) PCAOB standards.(2) Statements on Standards for […]

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