Which of the following is not type of engagement standard?

Related Mcqs:

1. The quantity of audit working papers complied on engagement would most be affected by__________?

   A. Management’s integrity
   B. Auditor’s experience and professional judgment
   C. Auditor’s qualification
   D. Control risk

2. What sort of assurance is provided in a review engagement?

   A. Positive assurance
   B. Negative assurance
   C. High level of assurance
   D. No assurance

3. Auditing engagement can be performed w.r.t.

   A. Profit making entity
   B. Non-profit making entity
   C. Corporate entity only
   D. Any entity

   Submitted by: ALIYA NAWAZ

4. Of the following, which is the least persuasive type of audit evidence?

   A. Bank statements obtained from the client
   B. Documents obtained by auditor from third parties directly.
   C. Carbon copies of sales invoices inspected by the auditor
   D. Computations made by the auditor

5. Which of the following describes sampling risk?

   A. The risk of the auditor carrying out a test the wrong way round
   B. The risk of reliance on unsuitable audit evidence
   C. The risk that the sample does not reflect the population
   D. The risk of the auditor reaching the wrong conclusions from testing

6. According to ISA 315, which of the following is NOT an element of the control environment?

   A. Participation of management
   B. Information processing
   C. Commitment to competence
   D. Human resource policies and practices

7. Which of the following is not corroborative evidence?

   A. Minutes of meetings
   B. Confirmations from debtors
   C. Information gathered by auditor through observation
   D. Worksheet supporting consolidated financial statements

8. Which of the following statement best describes the understanding with respect to ownership and custody of working papers prepared by an auditor?

   A. The working papers may be obtained by third parties when they appear to be relevant to issues raised in litigation
   B. The safe custody of working papers is the responsibility of client, if kept at his premises
   C. The working papers must be retained by an audit firm for a period of 10 years
   D. Successor auditors may have access to working papers of the predecessor auditors. The approval of client is not required.

9. Which of the following documents is not relevant for vouching cash sales?

   A. Daily cash sales summary
   B. Salesmen’s summary
   C. Monthly statements sent to customers
   D. Bank statement

10. Which of the following statements is INCORRECT?

    A. An auditor may serve on the board of directors of an audit client.
    B. An auditor who is an immediate family member of the director of an audit client must not be assigned to the audit team.
    C. Purchasing goods from an audit client on normal commercial terms does not create a threat to the auditor’s independence.
    D. An auditor who was recently a director of an audit client must not be assigned to the audit team for that client.