Question: When auditing equity, the auditor will test controls for the audit opinion on internal controls but choose not to test controls for the financial statement

When auditing equity, the auditor will test controls for the audit opinion on internal controls but choose not to test controls for the financial statement audit. 

(T/F)

Step by Step Solution

★★★★★

3.46 Rating (162 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

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

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related auditing Questions!

Q:

TRUE-FALSE QUESTIONS 1. The primary preliminary analytical procedure for stockholders' equity accounts is a comparison of current year account balances with prior-year account balances, after...

Q:

When auditing debt, the auditor will test controls for the audit opinion on internal controls but choose not to test controls for the financial statement audit. (T/F)

Q:

Multiple- Choice 1. The Sarbanes- Oxley Act of 2002 requires management to include a report on the effectiveness of ICFR in the entitys annual report. It also requires auditors to report on the...

Q:

Sharon Gallagher (audit manager), Josh Thomas (audit senior), Ian Harper, and Suzie Pickering (both audit staff) are meeting to discuss their internal control assessment for Cloud 9. Sharon asks,...

Q:

Sharon Gallagher (audit manager), Josh Thomas (audit senior), Ian Harper, and Suzie Pickering (both audit staff) are meeting to discuss their internal control assessment for Cloud 9. Sharon asks,...

Q:

Sharon Gallagher (audit manager), Josh Thomas (audit senior), Ian Harper, and Suzie Pickering (both audit staff) are meeting to discuss their internal control assessment for Cloud 9. Sharon asks,...

Q:

Sharon Gallagher (audit manager), Josh Thomas (audit senior), Ian Harper, and Suzie Pickering (both audit staff) are meeting to discuss their internal control assessment for Cloud 9. Sharon asks,...

Q:

Sharon Gallagher (audit manager), Josh Thomas (audit senior), Ian Harper, and Suzie Pickering (both audit staff) are meeting to discuss their internal control assessment for Cloud 9. Sharon asks,...

Q:

Sharon Gallagher (audit manager), Josh Thomas (audit senior), Ian Harper, and Suzie Pickering (both audit staff) are meeting to discuss their internal control assessment for Cloud 9. Sharon asks,...

Q:

Which of the following statements best describes the auditor's typical approach to testing controls related to debt? a . The auditor would test controls for integrated audit purposes, but not for...

Q:

Presented below are a number of balance sheet items for Letterman, Inc., for the current year, 2008. Instructions Prepare a classified balance sheet in good form. Common stock authorized was 400,000...

Q:

Below are five types of typical Starbucks customer segments and their behavior w.r.t. Starbucks. Identify: CLV of each segment over a five years window the total value of these customer segments to...

Q:

There is no p 2 in the example. This is how I got to 4 2 . 1 8 for D 3 through Infinity - - - - > 3 . 5 7 / ( . 1 0 - . 0 3 ) / ( 1 + . 1 0 ) ^ 2 . This leads to an answer of 4 7 . 8 6 not 4 6 . 6 8...

Q:

Identify specific characteristics and skills of the team leader in relation to collaboration, team dynamics, team decision making, managing conflict, and achieving team outcomes.

Q:

What kind of background in data processing do you think an internal auditor should have?

Q:

Describe five kinds of checks which help ensure accurate computer input.

Q:

Why are contingency plans necessary in a program of computer security?

Q:

Case: Cost Structures for Global Shippers Inc. Management from Global Shippers Inc, an international shipping business, is in the process of assessing the choice between two different cost structures...

Q:

Break-Even Point Hilton Enterprises sells a product for $63 per unit. The variable cost is $28 per unit, while fixed costs are $401,800. Determine (a) the break-even point in sales units and (b) the...

Q:

Date: Sept. 1 4 7 9 15 19 20 21 28 28 29 30 30 Issued 250 common shares for $25,000. To raise additional capital, Carswell borrowed $11,600 from the bank on a long-term loan. Purchased equipment for...