There are many factors that affect the auditor's decision as to how much direct testing of an
Question:
Required
a. Identify the factors that affect the auditor's decision as to whether to perform direct tests of an account balance, and if so, how much testing is required.
b. For each factor identified, indicate how it affects the auditor's decision of how much direct testing to perform.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 55% (9 reviews)
a Factors that affect the auditors decision on whether a particular control should be tested include Extent to which risk is mitigated by controls in ...View the full answer
Answered By
Utsab mitra
I have the expertise to deliver these subjects to college and higher-level students. The services would involve only solving assignments, homework help, and others.
I have experience in delivering these subjects for the last 6 years on a freelancing basis in different companies around the globe. I am CMA certified and CGMA UK. I have professional experience of 18 years in the industry involved in the manufacturing company and IT implementation experience of over 12 years.
I have delivered this help to students effortlessly, which is essential to give the students a good grade in their studies.
3.50+
2+ Reviews
10+ Question Solved
Related Book For
Auditing a business risk appraoch
ISBN: 978-0324375589
6th Edition
Authors: larry e. rittenberg, bradley j. schwieger, karla m. johnston
Question Posted:
Students also viewed these Auditing questions
-
There are many factors that affect a students success in school. A professor is concerned that many of her students work at part-time or even full-time jobs while they are attending school. Work...
-
There are many factors that may affect the size of the sample the auditor takes to test controls. Required a. Identify the factors the auditor should consider in developing the sample to perform...
-
Factors that Affect the Bond Issue Price Rivera Inc. is considering the issuance of $500,000 face value, ten-year term bonds. The bonds will pay 5% interest each December 31. The current market rate...
-
John Wilson is a conservative investor who has asked your advice about two bonds he is considering. One is a seasoned issue of the Capri Fashion Company that was first sold 22 years ago at a face...
-
What measures can be employed to improve the quality of a sheared edge?
-
Repeat Problem 951, but replace the isentropic expansion process by polytropic expansion process with the polytropic exponent n = 1.35.
-
What happens to the probability that a particular person works when the wage rises? Does such a wage increase generate an income effect?
-
A company car is in a wreck and the company expects to have to pay a substantial sum to persons who were injured. Search the FASB ASC database to determine what type of disclosure, if any, is...
-
Oriole Company has the following production data for selected months. Ending Work in Process Beginning Month Work in Process Units Transferred Out % Complete as to Units Conversion Cost January -0-...
-
Chemco Inc. manufactures a combination fertilizer/weed-killer under the name Fertikil. It is the only product produced by Chemco at the present time. Fertikil is sold nationwide, through normal...
-
The COSO internal control framework provides guidance to management to reduce residual risk to an acceptable level. Required a. Define the term "residual risk." b. Should residual risk be determined...
-
The auditor determines that there may be misstatements in the inventory and cost of goods sold account. During the conduct of the audit, the auditor found a material weakness in internal controls in...
-
Like the hole in a bagel, any hole in Finagle A Bagels information and accounting systems means less dough for the company. Copresidents Alan Litchman and Laura Trust and their management team could...
-
A toy water-rocket consists of an elongated plastic tank with a nozzle at one end (Figure P5.64). A hand pump is used to get pressurized air into the tank. If there is nothing but air in the tank,...
-
Consider the same initial system of spring and carts \(A\) and B as in Problem 62. After the system is set in motion with common speed \(v_{i}\), the clamp is again released. What is the speed of...
-
At an airport, two business partners both walk at \(1.5 \mathrm{~m} / \mathrm{s}\) from the gate to the main terminal, one on a moving sidewalk and the other on the floor next to it. The partner on...
-
Train A, \(m_{\mathrm{A}}=150,000 \mathrm{~kg}\), is traveling west at \(60 \mathrm{~km} / \mathrm{h}\). Train B, \(m_{\mathrm{B}}=100,000 \mathrm{~kg}\), behind train A on the same track, is...
-
A woman is on a train leaving the station at \(4.0 \mathrm{~m} / \mathrm{s}\), while a friend waving goodbye runs alongside the car she's in. (a) If the friend is running at \(6.0 \mathrm{~m} /...
-
Which of the following is an example of a directory server? (a) Apache tomcat (b) Apache Ant (c) Apache (d) ApacheDS
-
Could the owner of a business prepare a statement of financial position on 9 December or 23 June or today?
-
Explain how a project having a positive net present value will also have a profitability index greater than 1.0.
-
Consult Paragraph 25 of PCAOB Auditing Standard No. 5. Define what is meant by control environment. Why does the tone at the top have such an important effect on internal control over financial...
-
Consult Paragraph A4 (in Appendix A) of PCAOB Auditing Standard No. 5. What is the auditors responsibility related to information disclosed by management at the time of an earnings release, if any?...
-
Consider the principles, assumptions, and constraints of Generally Accepted Accounting Principles (GAAP). Define the revenue recognition principle and explain why it is important to users of...
-
A 7 5 kg cliff - diver is falls from a height through the air head, diving towards the water. The drag coefficient for the diver is 0 . 8 3 and the area of the descending diver is 0 . 2 1 m ^ 2 ....
-
In the automobile industry, the dimensionless drag coefficient and the area of the vehicle are often combined into one variable - the drag area whereby the drag area is the product of the...
-
When you drop 10 pebbles into the well, you record the times for hearing the splash as 2.94 s, 3.11 s, 3.12 s, 2.97 s, 3.12 s, 2.97 s, 3.06 s, 3.21 s, 3.37 s, and 3.53 s. (a) Find the average time...
Study smarter with the SolutionInn App