Scribd Logo
Upload

Welcome to Scribd!

  • 85 views

    C. Independent Financial Statements Audit

    Uploaded by

    ahmed arfan
    The document discusses assurance engagements as covered by the Philippine Framework for Assurance Engagements. It provides multiple choice questions regarding the key elements and types of assurance engagements, the appropriate subject matter, and standards that govern assurance services. The questions cover topics such as the objective of limited assurance engagements, forms the subject matter can take, and examples of assurance versus non-assurance engagements.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd

    C. Independent Financial Statements Audit

    Uploaded by

    ahmed arfan
    85 views5 pages
    The document discusses assurance engagements as covered by the Philippine Framework for Assurance Engagements. It provides multiple choice questions regarding the key elements and types of assurance engagements, the appropriate subject matter, and standards that govern assurance services. The questions cover topics such as the objective of limited assurance engagements, forms the subject matter can take, and examples of assurance versus non-assurance engagements.

    Original Title

    TBE2.docx

    Copyright

    © © All Rights Reserved

    Available Formats

    DOCX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    The document discusses assurance engagements as covered by the Philippine Framework for Assurance Engagements. It provides multiple choice questions regarding the key elements and types of assurance engagements, the appropriate subject matter, and standards that govern assurance services. The questions cover topics such as the objective of limited assurance engagements, forms the subject matter can take, and examples of assurance versus non-assurance engagements.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    85 views5 pages

    C. Independent Financial Statements Audit

    Uploaded by

    ahmed arfan
    The document discusses assurance engagements as covered by the Philippine Framework for Assurance Engagements. It provides multiple choice questions regarding the key elements and types of assurance engagements, the appropriate subject matter, and standards that govern assurance services. The questions cover topics such as the objective of limited assurance engagements, forms the subject matter can take, and examples of assurance versus non-assurance engagements.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    You are on page 1of 5

    1.

    Which of the following engagements is covered by the Framework for


    Assurance Engagements?
    a. Consulting engagements.
    b. Preparation of tax returns.
    C. Independent financial statements audit.
    d. Agreed-upon procedures engagement.

    2. The following are the elements of an assurance engagement except


    a. Suitable criteria.
    b. An appropriate subject matter.
    C. A two-party relationship involving a practitioner and intended users.
    d. Sufficient appropriate evidence.

    3. Which of the following is not an assurance engagement?


    a. Compilation
    b. Financial statements audit
    C. Information reliability services
    d. Reviews of prospective financial statements

    4. The risk that the practitioner expresses an inappropriate conclusion


    when the subject matter information is materially misstated
    a. Assurance engagement risk
    b. Materiality risk
    d. Reasonable assurance risk
    C. Non-detection risk
    5. Assurance engagements should exhibit the following elements except
    a. a subject matter.
    b. suitable criteria.
    C. an engagement process.
    d. appropriate professional fees

    6. Which of the following criteria is unique to the auditor’s attest function?


    a. General competence
    b. Familiarity with the particular industry of which the auditor's
    client is part
    C. Due professional care
    d. Independence

    7. Which of the following may not be an appropriate form of the subject


    matter of an assurance engagement?
    a. Historical financial information
    b. Systems and processes
    c. Behavior
    d. Non-physical characteristics of a facility

    8. CPAs in public practice who perform assurance engagements are


    governed by the following, except
    a. Philippine Framework for Assurance Engagements
    b. Code of Ethics for Professional Accountants in the Philippines
    C. Philippine Standards on Quality Control
    d. Philippine Standards on Related Services

    9. When performing an assurance service, professional accountants use


    standards or benchmarks to evaluate or measure the subject matter
    of an assurance engagement.
    These are referred to in the Framework as
    a. Criteria
    b. Norms
    C. Conditions
    d. Gauges
    10. The Philippine Framework for Assurance Engagements identifies two
    types of assurance engagements a practitioner is permitted to perform: a
    reasonable assurance engagement and a limited assurance engagement. Which of
    the following is the objective of a limited assurance engagement?
    a. a reduction in assurance engagement risk to a very low level
    in the circumstances of the engagement as a basis for a
    disclaimer of the practitioner's conclusion.
    b. a reduction in assurance engagement risk to an acceptably
    low level in the circumstances of the engagement as a basis
    for a positive form of expression of the practitioner's
    C. a reduction in assurance engagement risk to a level that is
    acceptable in the circumstances of the engagement as a basis
    for a negative form of expression of the practitioner’s conclusion.
    d. a reduction in assurance engagement risk to a level that is
    acceptable in the circumstances of the engagement as a basis
    for a qualified form of expression of the practitioners
    conclusion.

    11. The subject matter of an assurance engagement can take the following forms
    except
    a. Historical or Prospective financial statements.
    b. Performance of an entity that could indicate efficiency and effectiveness.
    C. The entity's internal control.
    d. Evaluation of a capital investment proposal.

    12. Which of the following is not an assurance engagement


    a. Information System Reliability Service
    b. Business Performance Measurement
    C. Risk Assessment Service
    d. Management Consulting Service

    Answers:
    1. c
    2. c
    3. a
    4. a
    5. d
    6. d
    7. d
    8. d
    9. b
    10. c
    11. d
    12. d

    You might also like