Question: Auditors may restrict substantive procedures based on the results of tests of controls. a. Discuss and contrast the concepts of the planned assessment of control

Auditors may restrict substantive procedures based on the results of tests of controls.
a. Discuss and contrast the concepts of the planned assessment of control risk and the revised assessment of the risk after tests of controls have been performed.
b. Using internal control for the existence assertion for accounts receivable, provide an example that distinguishes among the concepts discussed in part (a) above.

Step by Step Solution

★★★★★

3.32 Rating (158 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

a The planned assessed level of control risk is the level the auditors intend to use in performing t... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

336-B-A-A-A-N (923).docx

120 KBs Word File

Students Have Also Explored These Related Auditing Questions!

Based on the results of a survey questionnaire, 400 individuals were classified as politically conservative, moderate, or liberal. In addition, each person was classified by age, as shown in the...

The following table gives data on the results of spraying rotenone of different concentrations on the chrysanthemum aphis in batches of approximately fifty. Develop a suitable model to express the...

Based on the results of your investigation, what conclusions can you draw about the relationship between a muscles workload and its threshold of stimulation?

Question 25-26 all of the requirements 07-2 organization's internal comret In designing internal control, management must consider controls related to each of the fios major internal control...

Auditors may restrict substantive procedures based on the results of tests of controls. a. Discuss and contrast the concepts of the planned assessment of control risk and the revised assessment of...

Your audit firm, Garrett and Schulzke LLP, is engaged to perform the annual audit of Hooplah, Inc., for the year ending December 31, 2017. Hooplah is a privately-held company that sells electronics...

ACCT 612 FINAL EXAM SECTION 1: 2 POINTS EACH. PLEASE SELECT THE BEST ANSWER TO EACH OF THE FOLLOWING QUESTIONS. 1) Which of the following best describes the test data approach? A) Auditors process...

auditing TIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question 1) Which of the following is not one of the three primary objectives of effective internal...

Please see the attached items. I need help completing. ACCT 612 FINAL EXAM SECTION 1: 2 POINTS EACH. PLEASE SELECT THE BEST ANSWER TO EACH OF THE FOLLOWING QUESTIONS. 1) Which of the following best...

Auditing Chapter 6 quiz 1.An auditor's primary consideration regarding an entity's internal controls is whether they a. Prevent management override. b. Relate to the control environment. c. Reflect...

In an economy with the following aggregate demand and aggregate supply schedules, find the equilibrium levels of real output and the price level. Graph your solution. If full employment comes at...

A commuter must pass through five traffic lights on her way to work and will have to stop at each one that is red. After keeping a record for several months, she developed the following probability...

Market share analysis is a type of model typically used by the _______ function of an organization. A. marketing C. production B. accounting D. management science

The information in Exhibit 1 is extracted from Sweetfall Incorporateds financial statements. The amount of cash Sweetfall Inc. paid to suppliers is: A. USD25,700. B. USD26,702. C. USD27,826.

In performing a substantive test of the book value of a population, auditors must be concerned with two aspects of sampling risk. What are these two aspects of sampling risk, and which aspect is of...

Using the approach presented in this chapter for mean-per-unit sampling, when is it necessary to calculate an adjusted allowance for sampling risk?

When using nonstatistical sampling, what relationship must exist between the projected misstatement and tolerable misstatement in order for the auditors to conclude that an account balance is...

In Vogue, a T-shirt business, is growing fast and needs a better accounting information system. Consider the features of an effective system. Which features are most important? Why? Which feature...

On the balance sheet, current liabilities are generally listed before non-current liabilities. O in order of liquidity. O as the first category in the liability section. O any of the above are...

Roletter Company makes and sells artistic frames for pictures of weddings, graduations, and other special events. Ron Kyler, the controller, is responsible for preparing Roletter's master budget and...