Strayer Washington DC ACC 403 Quiz-Chapter-21-24

Question 1
  Testing the information on the aged trial balance for detail tie-in is a necessary audit procedure, which would normally include:
 Question 2
  Which of the following is the principle "weakness" of using negative confirmations for your tests of details of balances for accounts receivable?
 Question 3
  Most tests of accounts receivable are based on what schedule, file, or listing?
 Question 4
  When do most companies record sales returns and allowances?
 Question 5
  Audit procedures designed to uncover credit sales made after the client's fiscal year end that relate to the current year being audited provide evidence for which of the following audit objective?
 Question 6
  Tests of which balance-related audit objective are normally performed first in an audit of the sales and collection?
 Question 7
  The correct accounting for accounts receivable accounts with credit balances, provided they are significant, would be:
 Question 8
  An auditor is performing a credit analysis of customers with balances over 60 days due. She is most likely obtaining evidence for which audit related objective?
 Question 9
  In performing your audit you noticed that often times goods are shipped that are not matched with the corresponding sales invoice. This control deficiency could cause:
 Question 10
  For cash receipts, the occurrence transaction-related audit objective affects which of the following balance-related audit objective?
 Question 11
  An auditor selects a sample from the file of shipping documents to determine whether invoices were prepared. This test is performed to satisfy the audit objective of:
 Question 12
  The audit procedure of tracing sales invoices to shipping documents will provide the auditor evidence that:
 Question 13
  The most important test of details of balances to determine the existence of recorded accounts receivable is:
 Question 14
  For most audits, inherent risk for accounts receivable is moderate or low except for which balance-related audit objectives?
 Question 15
  Cutoff misstatements occur when:
 Question 16
  Tests for rates of occurrence are appropriately used in all but which of the following situations?
 Question 17
  If acceptable audit risk is increased, acceptable risk of incorrect acceptance should be:
 Question 18
  Which of the following is not a type of statistical method that provides results in dollar terms?
 Question 19
  The method used to measure the estimated total error amount in a population when there is both a recorded value and an audited value for each item in the sample is:
 Question 20
  What is the purpose of applying stratified sampling to a population?
 Question 21
  The final step in the evaluation of the audit results is the decision to:
 Question 22
  In estimating the population misstatement, the first step in projecting from the sample to the population is to:
Question 23
  You are auditing Nelson and Company and determined that the sample results support a conclusion that the account is materially misstated, when in fact it was not misstated. This illustrates the risk of:
Question 24
  As the amount of misstatements expected in the population approaches tolerable misstatement, the planned sample size will:
Question 25
  The auditor is concerned with the audited value rather than the error amount of each item in the sample when using:
Question 26
  When selecting a sample size for substantive tests of balances which factor, other factors being equal, would result in a larger sample?
Question 27
  The risk the auditor is willing to take of accepting a balance as correct when the true misstatement in the balance under audit is greater than the tolerable misstatement is:
Question 28
  When errors are found in a sample, auditors in practice generally make the assumption:
Question 29
Which of the following does not have to be considered in determining the initial sample size of a test of details?
 Question 30   The auditor’s principal objective when using a sample of tests of details of balances is whether the: