This quiz works best with JavaScript enabled. Home > Accounting > Auditing > Auditing – Quiz 6 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Auditing Quiz 6 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. The auditor's opinion that the financial statements present fairly, in all material respects, the financial position, results of operations and cash flows of a particular entity in accordance with accounting principles generally accepted in Indonesia is an opinion..... A) Reasonable without exception. B) The statement does not provide an opinion. C) Reasonable without exception with explanatory language. D) Improper opinion. Show Answer Correct Answer: A) Reasonable without exception. 2. The following are not included in the types of audit evidence collected by auditors: A) Last year's inspection report. B) Journal Book. C) Ledger and subsidiary books. D) Confirmation and other written statements. Show Answer Correct Answer: A) Last year's inspection report. 3. 'An approved company auditor is a qualifies person approved by the Ministry of Finance to act as an auditor, is a good of ..... to perform duties of an auditor under the CA Act.' Which of the followings fit the blank? A) Attitude and honest. B) Knowledge and reliable. C) Personality and dutiful. D) Character and competent. Show Answer Correct Answer: D) Character and competent. 4. If there is a small control risk because an entity's internal control system is adequate, then the most appropriate statistical method to use is..... A) Formal. B) Discovery. C) Sequential. D) Fixed Sample Size. Show Answer Correct Answer: B) Discovery. 5. Information / facts that are used as a basis for drawing conclusions are the meaning of ..... A) Inspection. B) Confirmation. C) Audit evidence. D) Observation. Show Answer Correct Answer: C) Audit evidence. 6. What is BKU? A) General Credit Book. B) General Cash Book. C) Main Cash Book. D) Main Credit Book. Show Answer Correct Answer: B) General Cash Book. 7. Arens divides audits into three main types, namely..... A) Financial Statement Audit, Operasional Audit, dan Periodical Audit. B) Financial Statement Audit, Operasional Audit, dan Complience Audit. C) Financial Statement Audit, Operasional Audit, dan Interim Audit. D) Financial Statement Audit, Operational Audit, and External Audit. Show Answer Correct Answer: A) Financial Statement Audit, Operasional Audit, dan Periodical Audit. 8. The following are various methods used by auditors in evaluating management integrity, except..... A) Determine independence. B) Communicate with the predecessor auditor. C) Ask a third party for information. D) Review the auditor's past experience in dealing with the client concerned. Show Answer Correct Answer: A) Determine independence. 9. ..... is a comprehensive review of an organization's adherence to regulatory guidelines. A) Compliance audit. B) Forensic audit. Show Answer Correct Answer: A) Compliance audit. 10. The following is not part of a Private Entity Financial Report Audit: A) Income audit. B) Inventory audit. C) Audit of remaining over budget financing. D) Audit whether. Show Answer Correct Answer: C) Audit of remaining over budget financing. 11. Audit evidence can come in different forms with different degrees of persuasiveness. Which of the following is the least persuasive type of evidence? ..... A) Vendor's Invoice. B) Prenumbered sales Invoice. C) Bank statement obtained from the client. D) Computations made by the auditor. Show Answer Correct Answer: B) Prenumbered sales Invoice. 12. The examination of cost accounts and statement is called A) Cost audit. B) Complete audit. C) Interim audit. D) Management audit. Show Answer Correct Answer: A) Cost audit. 13. Each member is obliged to always act within the framework of public service, respect public trust, and demonstrate a commitment to professionalism. The IAI Ethics Principles are principles..... A) Professional responsibility. B) Public interest. C) Integrity. D) Objectivity. Show Answer Correct Answer: B) Public interest. 14. Which of the following types of documentary evidence should the auditor consider to be the most reliable? A) A sales invoice issued by the client and supported by a delivery receipt from an outsourced transport company. B) Confirmation of an accounts payable balance mailed by and returned directly to the auditor. C) A cheque which is issued by the client company and included in the bank statements. D) An audit schedule prepared by the client's accounts executive which is reviewed by the accountant. Show Answer Correct Answer: B) Confirmation of an accounts payable balance mailed by and returned directly to the auditor. 15. The following are the stages taken by auditors in the audit process of historical financial statements, except..... A) Acceptance of the audit engagement. B) Gaining an understanding of the client's internal controls. C) Audit planning. D) Implementation of audit testing. Show Answer Correct Answer: B) Gaining an understanding of the client's internal controls. 16. Auditing is the verification of A) Financial problems. B) Financial Production. C) Financial statement. D) Financial product. Show Answer Correct Answer: C) Financial statement. 17. In which year the charted Accountants act was passed A) 1947. B) 1948. C) 1949. D) 1950. Show Answer Correct Answer: C) 1949. 18. To emphasize the independence of auditors in management, many problems follow the practice: A) Appointment of a CPA firm partner to conduct an audit of the company's audit committee. B) Establishment of policies to encourage social contact between company employees and independent auditor staff. C) Request for an independent auditor representative to be present at the annual shareholder meeting. D) Submit the independent auditor's report to members of the audit committee who come from outside the board of directors. Show Answer Correct Answer: A) Appointment of a CPA firm partner to conduct an audit of the company's audit committee. 19. Auditor's primary responsibility is to detect errors and frauds. A) TRUE. B) FALSE. Show Answer Correct Answer: B) FALSE. 20. GAAP is an abbreviation of..... A) Generally Accrued Auditing Principles. B) Generally Accepted Accounting Principles. C) Generally Accepted Accrued Principles. D) Generally Accepted Accounting Perceptions. Show Answer Correct Answer: B) Generally Accepted Accounting Principles. ← PreviousNext →Related QuizzesAccounting QuizzesAuditing Quiz 1Auditing Quiz 2Auditing Quiz 3Auditing Quiz 4Auditing Quiz 5Auditing Quiz 7Auditing Quiz 8Auditing Quiz 9Auditing Quiz 10 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books