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NEW QUESTION: 1
The auditor should obtain sufficient knowledge of the client's information and communication system
relevant to financial reporting to understand all of the following, except
A. Control activities related to each account balance, transaction class, and disclosure component in the
financial statements or to every assertion relevant to them.
B. The means the entity uses to communicate roles, responsibilities, and significant matters relating to
financial reporting.
C. The financial reporting process, including development of significant accounting estimates and
inclusion of appropriate disclosures.
D. Classes of transactions in the entity's operations that are significant to the financial statements, and
how those transactions are processed, from initiation to inclusion in the financial statements.
Answer: A
Explanation:
Explanation/Reference:
Explanation:
Choice "D" is correct. Ordinarily, audit planning does not require an understanding of the control activities
related to each account balance, transaction class, and disclosure component in the FS or to every
assertion relevant to them.
Choice "A" is incorrect. The auditor is required to understand significant classes of transactions and how
they are processed.
Choice "B" is incorrect. The auditor is required to understand the financial reporting process.
Choice "C" is incorrect. The auditor is required to understand the methods used by the entity to
communicate matters relevant to financial reporting.
NEW QUESTION: 2
Juliet is on her fourth week of employment as a clinical nurse specialist. Most of her colleagues are very
articulating, confident, and sometimes aggressive. She feels uncomfortable, believing that she is the
scapegoat of everything that goes wrong in her unit. Juliet must:
A. Disregard her feelings and continue to work with confidence
B. Identify the source of conflict and think about points of friction
C. Quit her job and seek one at another hospital
D. Consult the chief nurse
Answer: B
Explanation:
Juliet must identify the source of conflict and think about points of friction. This involves a
problem-solving approach, which addresses the root cause of the problem.
NEW QUESTION: 3
Although a government can have as many funds as it wishes, all of the funds must be classified into one of the following fund types EXCEPT.
A. Governmental Funds
B. general funds
C. Proprietary Funds
D. property funds
Answer: B,D
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