This quiz works best with JavaScript enabled. Home > Accounting > Auditing > Auditing – Quiz 16 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Auditing Quiz 16 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. The audit process is ..... A) Matching assertions to predefined criteria. B) Matching management assertions with audit opinions. C) Matching financial statement assertions with audit standards. D) Matching financial statements with audit opinions. Show Answer Correct Answer: A) Matching assertions to predefined criteria. 2. The Chairperson of the Fund Raiser Committee reported that no profit was realized from the event and therefore did not prepare a written report. Should a written report be prepared? A) Yes. B) No. Show Answer Correct Answer: A) Yes. 3. The auditor prepares the audit report with the help of ..... A) Working papers. B) Audit note book. C) Trial balance. D) None of above. Show Answer Correct Answer: B) Audit note book. 4. The types of audit evidence obtained using check techniques are; A) Physical evidence. B) Documentary evidence. C) Testimonial evidence. D) Analytical evidence. Show Answer Correct Answer: B) Documentary evidence. 5. The Word Standard means A) Point of Reference. B) Error Finding. C) Error Removing. D) Debugging. Show Answer Correct Answer: A) Point of Reference. 6. A misstatement in the financial statements can be considered material if..... A) More than 5% of revenue accounts. B) Influence the decisions of financial report users. C) Influence government policy. D) More than IDR 1 billion. Show Answer Correct Answer: B) Influence the decisions of financial report users. 7. In the third paragraph of the audit report, an auditor states his opinion regarding the fairness of the audited financial statements, in all material respects, which is based on the conformity of the preparation of the financial statements with generally accepted accounting principles. A) CORRECT. B) SALAH. Show Answer Correct Answer: A) CORRECT. 8. When there are two or more errors which exactly counter balance each other are termed ase) A) Error of principle. B) Error of Commission. C) Error of Omission. D) Compensating Errors. Show Answer Correct Answer: D) Compensating Errors. 9. In minimizing the risk of litigation, which precaution can help minimize the risk of misunderstanding about the contractual obligations? ..... A) Use engagement letters. B) Comply with professional pronouncements. C) Thoroughly investigate clients. D) Emphasize quality rather than growth. Show Answer Correct Answer: A) Use engagement letters. 10. Audit standards are grouped into three large groups, except A) Conceptual Standard. B) General Standards. C) Field Work Standards. D) Reporting Standards. Show Answer Correct Answer: A) Conceptual Standard. 11. The risk that arises as a result of the auditor not being able to detect material misstatements contained in an assertion is called..... A) Audit Risk. B) Inherent risk. C) Detection risk. D) Control Risk. Show Answer Correct Answer: C) Detection risk. 12. In general, operational report audits have been carried out by internal auditors and government auditors, but may also be carried out by CPAs. The objective of an operational audit is to provide: A) A tool to ensure that internal control is functioning as planned. B) Assistance for independent auditors conducting audits of financial statements. C) Results of internal examinations of financial and accounting issues for the company's top management. D) Measures of management performance in achieving organizational goals. Show Answer Correct Answer: A) A tool to ensure that internal control is functioning as planned. 13. The professional organization for internal auditors in central and regional governments is A) Ip. B) IAI. C) APIP. D) IIA. Show Answer Correct Answer: A) Ip. 14. Audit in depth is synonymous for- A) Complete audit. B) Completed audit. C) Final audit. D) Detailed audit. Show Answer Correct Answer: D) Detailed audit. 15. ..... is to check what's describes in the documentation is really present in the workplace A) Observation. B) Interview. C) Documentation. D) All of them. Show Answer Correct Answer: A) Observation. 16. The following are audit risks, except A) Inherent risk. B) Derivative risk. C) Control Risk. D) Detection Risk. Show Answer Correct Answer: B) Derivative risk. 17. The auditor's opinion that the financial statements do not fairly present the financial position, results of operations and cash flows of a particular entity in accordance with generally accepted accounting principles in Indonesia is an opinion..... A) Reasonable without exception. B) The statement does not provide an opinion. C) Reasonable with exceptions. D) Improper opinion. Show Answer Correct Answer: D) Improper opinion. 18. An employee of the audited organization who may carry out compliance audits and operational audits, is the definition of A) Auditor Internal. B) Auditor Eksternal. C) Government Auditor. D) Tax Auditor. Show Answer Correct Answer: A) Auditor Internal. 19. Which of the following statements regarding analytical procedures is correct? A) Analytical procedures must be used as part of the overall review of the financial statements. B) Analytical procedures may be used as part of the overall review of the financial statements. C) Analytical procedures are only used as risk assessment procedures. D) None of above. Show Answer Correct Answer: B) Analytical procedures may be used as part of the overall review of the financial statements. 20. Which is not an accounting profession according to the Accounting Profession Act 2004? A) Auditing. B) Internal audit. C) Management accounting. D) Accounting system setup. Show Answer Correct Answer: B) Internal audit. ← PreviousNext →Related QuizzesAccounting QuizzesAuditing Quiz 1Auditing Quiz 2Auditing Quiz 3Auditing Quiz 4Auditing Quiz 5Auditing Quiz 6Auditing Quiz 7Auditing Quiz 8Auditing Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books