What is a false confirmation? Why are false confirmations so problematic for auditors in terms of evidence

Question:

What is a false confirmation? Why are false confirmations so problematic for auditors in terms of evidence reliability expectations?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For answer-question

Auditing A Risk Based Approach to Conducting a Quality Audit

ISBN: 978-1305080577

10th edition

Authors: Karla Johnstone, Audrey Gramling, Larry E. Rittenberg

See More Books

Question Posted: Sep 23, 2016 09:49 AM

See More Questions

An auditor has to determine both the reliability and the relevance of potential audit evidence in order to determine that appropriate audit evidence is gathered. a. Explain the difference between...
In May 2011, Deloitte Touche Tohmatsu (DTT) resigned as the auditor for Longtop Financial Technologies Limited (Longtop). Excerpts from DTT's resignation letter are provided here: As part of the...
In July 2010, the SEC issued a complaint against senior management at Dell Inc. including the company's chairman, CEO, and CFO. The complaint includes allegations that Dell engaged in fraud during...
Using Porter's Five Forces Model, examine the impact of the market positioning on the selected product or service. Describe how each of the forces provides an advantage and disadvantage to the...
What is a financial futures contract? If you expect interest rates to rise, should you buy or sell a financial futures contract?
1. Identify the change in total revenue (the marginal revenue) from the fourth shirt per day. What price reduction was necessary to sell four rather than three shirts? 2. What is the change in total...
Develop the appropriate primary research question to be associated with this design. Develop a hypothetical research scenario that would necessitate the use of the Action Research Approach and a...
Thom DeBusk, an architect, is considering buying, restoring, and reselling a home in the Draper-Preston historic district of Blacksburg, VA. The cost of the home is $240,000 and Thom believes it can...
Recent events have once again shaken and stirred the memory of the nation. Almost immediately after the Civil War, a myth arose painting the conflict with a brush that attempted to blur the lines...
Sorrell was driving a dump truck loaded with asphalt to repair railroad crossings when another Norfolk truck approached. Sorrell claimed he was forced off the road. The truck flipped and he was...
The third step in performing analytical procedures involves developing expectations of recorded amounts or ratios, and evaluating whether the expectations are precise enough to accomplish the...
As part of the audit of KC Enterprises, the auditor assessed control risk for the existence and valuation assertions related to accounts receivable at the maximum level. Katie, the staff person...
President Franklin D. Roosevelt once said, "! am wholly unable to figure out the amount of tax," and w rote to the Federal Commissioner of Revenue, "may I ask that [the agency] let me know the amount...
Indicate whether the following items are Section 1245 or Section 1250 property or, if neither, indicate what type of property they are considered to be (e.g., capital asset, Section 1231 asset)....
Using the references from Exercise 5.3, show the final cache contents for a fully associative cache with one-word blocks and a total size of 8 words. Use LRU replacement. For each reference identify...
Harlan Huston had a net Section 1231 gain in 2019 of $40,000. His net Section 1231 gains and losses were as follows: How is the $40,000 net Section 1231 gain treated by Harlan in 2019? Year 2018 2017...
Barbara Bliss had the following recognized gains and losses during 2019: What are the net tax consequences of these gains and losses for Barbara? Barbara's adjusted gross income is $30,000 without...
Etonic SA is considering an investment of 250,000 in an asset with an economic life of 5 years. The firm estimates that the nominal annual cash revenues and expenses at the end of the first year will...
This information is for Paulo Company for the year ended December 31, 2022. Cash received from revenues from customers ........$600,000 Cash received for issuance of common stock ............280,000...
Research corporate acquisitions using Web resources and then answer the following questions: Why do firms purchase other corporations? Do firms pay too much for the acquired corporation? Why do so...
Cerulean Ltd operates in the steel fabrication industry. Its business is organised into domestic and international sales, and has many clients in each area. It obtains most of its raw materials from...
A new client has been paying its suppliers late consistently; well in excess of the suppliers agreed credit terms. As a result, some suppliers have begun demanding cash on delivery from the client....
Wisteria World is a theme park operated by an audit client of Salmon Partners. It is located on the Gold Coast and, due to its proximity to the ocean, the rides are prone to rust and corrosion....
A car of mass 772 kg is traveling 29.9 m/s when the driver applies the brakes, which lock the wheels. The car skids for 5.67 s in the positive x-direction before coming to rest. HINT (a) What is the...
A ball falls from height of 18.5 m, hits the floor, and rebounds vertically upward to height of 15.0 m. Assume that mball -0.400 kg. (a) What is the impulse (in kg m/s) delivered to the ball by the...
4. Discuss and explain the components in the following transaction between the Merchant and Bank. PIMD Hash Bank Hash POMD En- crypt Dual Sig. OIMD Customer's R 0 Customer's private key public key...

What is a false confirmation? Why are false confirmations so problematic for auditors in terms of evidence

Question:

Step by Step Answer:

A false confirmation is one in which the respondent in this case the clients customer r...View the full answer

Auditing A Risk Based Approach to Conducting a Quality Audit

Students also viewed these Auditing questions