In performing attestation services, a CPA will normally: a. Recommend uses for information. b. Improve the quality of information, or its context, for decision makers. c. Perform market analyses and cost estimates. d. States a conclusion about a written assertion

In performing attestation services, a CPA will
normally:
a. Recommend uses for information.
b. Improve the quality of information, or its
context, for decision makers.
c. Perform market analyses and cost
estimates.
d. States a conclusion about a written
assertion
by

1 Answer

Answer :

States a conclusion about a written
assertion
by

Related questions

An attestation engagement is one in which a CPA is engaged to: a. Assemble prospective financial statements based on the assumptions of the entity's management without expressing any Testify as an expert witness in accounting, auditing or tax matters, given certain stipulated facts. b. assurance. c. Issue a written communication expressing a conclusion about the reliability of a written assertion that is the responsibility of another party. d. Provide tax advice or prepare a tax return based on financial information the CPA has not audited or reviewed.

Description : An attestation engagement is one in which a CPA is engaged to: a. Assemble prospective financial statements based on the assumptions of the entity's management without expressing any Testify as an expert ... or prepare a tax return based on financial information the CPA has not audited or reviewed.

Last Answer : Issue a written communication expressing a conclusion about the reliability of a written assertion that is the responsibility of another party

These are independent professional services that improve the quality of information for decision-making. a. Audit services b. Assurance services c. Attestation services d. Management consultancy

Description : These are independent professional services that improve the quality of information for decision-making. a. Audit services b. Assurance services c. Attestation services d. Management consultancy

Last Answer : Assurance services

Which one of the following contingent fee is allowed? a. All services performed by a CPA film. b. Non-attestation services. c. Non-attestation services, unless the CPA firm was also performing attestation services for the same client. d. Attestation services

Description : Which one of the following contingent fee is allowed? a. All services performed by a CPA film. b. Non-attestation services. c. Non-attestation services, unless the CPA firm was also performing attestation services for the same client. d. Attestation services

Last Answer : Non-attestation services, unless the CPA firm was also performing attestation services for the same client

A CPA should maintain objectivity and be free of conflicts of interest when performing: a. All attestation services, but not other professional services. b. All attestation and tax services, but not other professional services. c. Audits, but not any other professional services. d. All professional services

Description : A CPA should maintain objectivity and be free of conflicts of interest when performing: a. All attestation services, but not other professional services. b. All attestation and tax services, ... professional services. c. Audits, but not any other professional services. d. All professional services

Last Answer : All professional services

Which one of the following contingent fee is allowed? a. All services performed by a CPA firm. b. Non-attestation services. c. Non-attestation services, unless the CPA firm was also performing attestation services for the same client. d. Attestation services

Description : Which one of the following contingent fee is allowed? a. All services performed by a CPA firm. b. Non-attestation services. c. Non-attestation services, unless the CPA firm was also performing attestation services for the same client. d. Attestation services

Last Answer : Non-attestation services, unless the CPA firm was also performing attestation services for the same client.

The principle of Professional behavior requires a CPA to: a. Perform professional services with due care, competence and diligence. b. Be straightforward and honest in performing professional servicesc. Act in a manner consistent with thegood reputation of the professionand refrain from any conduct whichmight bring discredit to theprofession.d. Be fair and should not allow prejudice orbias, conflict of interest or influence ofothers to override objectivity or affecthis professional or business judgments.

Description : The principle of Professional behavior requires a CPA to: a. Perform professional services with due care, competence and diligence. b. Be straightforward and honest in performing professional ... or influence of others to override objectivity or affect his professional or business judgments.

Last Answer : Act in a manner consistent with the good reputation of the profession and refrain from any conduct which might bring discredit to the profession

The principle of professional behavior requires a CPA to a. Be straightforward and honest in performing professional services. b. Perform professional services with due care, competence and diligence.c. Be fair and should not allow prejudice or bias, conflict of interest or influence of others to override objectivity. d. Act in a manner consistent with the good reputation of the profession and refrain from any conduct which might bring discredit to the profession

Description : The principle of professional behavior requires a CPA to a. Be straightforward and honest in performing professional services. b. Perform professional services with due care, competence and diligence. ... of the profession and refrain from any conduct which might bring discredit to the profession

Last Answer : Act in a manner consistent with the good reputation of the profession and refrain from any conduct which might bring discredit to the profession

In performing an assurance engagement, a professional accountant typically a. Provides management consulting advice. b. Supplies litigation support services. c. Assesses control risk at a low level. d. Expresses a conclusion about an assertion

Description : In performing an assurance engagement, a professional accountant typically a. Provides management consulting advice. b. Supplies litigation support services. c. Assesses control risk at a low level. d. Expresses a conclusion about an assertion

Last Answer : Expresses a conclusion about an assertion

An engagement in which a CPA firm arranges for a critical review of its practices by another CPA firm. a. Attestation engagement b. Peer review engagement c. Quality control engagement d. Quality assurance engagemen

Description : An engagement in which a CPA firm arranges for a critical review of its practices by another CPA firm. a. Attestation engagement b. Peer review engagement c. Quality control engagement d. Quality assurance engagemen

Last Answer : Peer review engagement

Which of the following activities is not prohibited for the CPA firm's attestation service clients? a. Referral fees on audit jobs. b. Competitive bidding on audit jobs. c. Contingent fees on audit jobs. d. Commissions for obtaining client services on audit jobs

Description : Which of the following activities is not prohibited for the CPA firm's attestation service clients? a. Referral fees on audit jobs. b. Competitive bidding on audit jobs. c. Contingent fees on audit jobs. d. Commissions for obtaining client services on audit jobs

Last Answer : Competitive bidding on audit jobs

Which of the following activities is not prohibited for the CPA firm's attestation service clients? a. Competitive bidding on audit jobs. b. Contingent fees on audit jobs. c. Commissions for obtaining client services on audit jobs. d. Referral fees on audit jobs.

Description : Which of the following activities is not prohibited for the CPA firm's attestation service clients? a. Competitive bidding on audit jobs. b. Contingent fees on audit jobs. c. Commissions for obtaining client services on audit jobs. d. Referral fees on audit jobs.

Last Answer : Competitive bidding on audit jobs

Which of the following statements is true? a. Professional standards prohibit CPAs from performing non-assurance engagements. b. Absolute assurance is attainable owing to the fact that much of the evidence available to the CPA is persuasive rather than conclusive. c. The CPA’s conclusion provides a level of assurance about the subject matter. d. The responsible party expresses a conclusion that provides a level of assurance as to whether the subject matter conforms, in all material respects, with the identified suitable criteria

Description : Which of the following statements is true? a. Professional standards prohibit CPAs from performing non-assurance engagements. b. Absolute assurance is attainable owing to the fact that much of ... to whether the subject matter conforms, in all material respects, with the identified suitable criteria

Last Answer : The CPA’s conclusion provides a level of assurance about the subject matter.

This fundamental principle requires a CPA not to use or disclose information acquired during the course of performing professional services without proper and specific authority. a. Objectivity. b. Professional Behavior. c. Professional Competence and Due care. d. Confidentiality

Description : This fundamental principle requires a CPA not to use or disclose information acquired during the course of performing professional services without proper and specific authority. a. Objectivity. b. Professional Behavior. c. Professional Competence and Due care. d. Confidentiality

Last Answer : Confidentiality

A CPA establishes quality control policies and procedures for deciding whether to accept a new client or continue to perform services for a current client. The primary purpose for establishing such policies and procedures is a. To enable the auditor to attest to the integrity or reliability of a client. b. To comply with the quality control standards established by regulatory bodies. c. To minimize the likelihood of association with clients whosemanagement lacks integrity.d. To lessen the exposure to litigationresulting from failure to detectirregularities in client financialstatements

Description : A CPA establishes quality control policies and procedures for deciding whether to accept a new client or continue to perform services for a current client. The primary purpose ... resulting from failure to detect irregularities in client financial statements association with clients whose

Last Answer : To minimize the likelihood of association with clients whose management lacks integrity

Which of the following is the single feature that most clearly distinguishes auditing, attestation, and assurance: a. CPA's approach to the service. b. Type of service. c. Scope of services. d. Training necessary to perform the service

Description : Which of the following is the single feature that most clearly distinguishes auditing, attestation, and assurance: a. CPA's approach to the service. b. Type of service. c. Scope of services. d. Training necessary to perform the service

Last Answer : Scope of services

Which of the following is the single feature that most clearly distinguishes auditing, attestation, and assurance: a. CPA's approach to the service. b. Type of service. c. Scope of services. d. Training necessary to perform the service

Description : Which of the following is the single feature that most clearly distinguishes auditing, attestation, and assurance: a. CPA's approach to the service. b. Type of service. c. Scope of services. d. Training necessary to perform the service

Last Answer : Scope of services.

When performing an assurance service, professional accountants use standards or benchmarks to evaluate or measure the subject matter of an assurance engagement. This is known as: a. PFRS. b. Assertion. c. Criteria. d. Conclusion.

Description : When performing an assurance service, professional accountants use standards or benchmarks to evaluate or measure the subject matter of an assurance engagement. This is known as: a. PFRS. b. Assertion. c. Criteria. d. Conclusion.

Last Answer : Criteria.

The attest function: a. Is an essential part of every engagement performed by a CPA. b. Includes the preparation of a written report of the CPA's conclusion. c. Requires a complete review of all transactions during the period under examination. d. Requires a review of a sample of transactions during the period under examination.

Description : The attest function: a. Is an essential part of every engagement performed by a CPA. b. Includes the preparation of a written report of the CPA's conclusion. c. Requires a complete review ... under examination. d. Requires a review of a sample of transactions during the period under examination.

Last Answer : Includes the preparation of a written report of the CPA's conclusion

Which of the following is true of the report based on agreed-upon-procedures? a. The report is restricted to those parties who have agreed to the procedures to be performed. b. The CPA provides the recipients of the report limited assurance as to reasonableness of the assertion(s) presented in the financial information. c. The report states that the auditor has not recognized any basis that requires revision of financial statements. d. The report should state that the procedures performed are limited to analytical procedures and inquiry

Description : Which of the following is true of the report based on agreed-upon-procedures? a. The report is restricted to those parties who have agreed to the procedures to be performed. b. The CPA ... . d. The report should state that the procedures performed are limited to analytical procedures and inquiry

Last Answer : The report is restricted to those parties who have agreed to the procedures to be performed

Which of the following procedures would an auditor be most likely to perform in planning a financial statement audit? a. Reviewing investment transactions of the audit period to determine whether related parties were created. b. Performing analytical procedures to identify areas that may represent specific risks. c. Obtaining a written representation letter from the client to emphasize management's responsibilities. d. Reading the minutes of stockholder and director meetings to discover whether any unusual transactions have occurred.

Description : Which of the following procedures would an auditor be most likely to perform in planning a financial statement audit? a. Reviewing investment transactions of the audit period to determine ... the minutes of stockholder and director meetings to discover whether any unusual transactions have occurred.

Last Answer : Performing analytical procedures to identify areas that may represent specific risks.

Under the Code of Ethics, a CPA may not: a. Perform bookkeeping services for an audit client. b. Perform advisory services for an audit client. c. Have any direct financial interest in a client during the period covered by the financial statements. d. Having any joint, closely held investments with a principal stockholder of an audit client during the period of audit engagement which is not material in relation to his ne

Description : Under the Code of Ethics, a CPA may not: a. Perform bookkeeping services for an audit client. b. Perform advisory services for an audit client. c. Have any direct financial interest in a client ... of an audit client during the period of audit engagement which is not material in relation to his ne

Last Answer : Have any direct financial interest in a client during the period covered by the financial statements.

In determining the scope and nature of services to be performed in public practice, a CPA firm should a. Have in place internal control procedures b. Only perform accounting related services c. Require independence for all services performed d. Determine that the performance of all services is consistent with the firm's members' role as professionals

Description : In determining the scope and nature of services to be performed in public practice, a CPA firm should a. Have in place internal control procedures b. Only perform accounting related services c. ... that the performance of all services is consistent with the firm's members' role as professionals

Last Answer : Determine that the performance of all services is consistent with the firm's members' role as professionals

Whenever a CPA professional is engaged to perform an audit of financial statements according to Philippine Standards on Auditing, he required to comply with those standards in order to a. Eliminate audit risk. b. Eliminate the professional judgment in resolving audit issues. c. Have a measure of the quality of audit performance. d. To reduce the audit program to be prepared by the auditor.

Description : Whenever a CPA professional is engaged to perform an audit of financial statements according to Philippine Standards on Auditing, he required to comply with those standards in order to a. Eliminate audit risk ... of audit performance. d. To reduce the audit program to be prepared by the auditor.

Last Answer : Have a measure of the quality of audit performance.

When a CPA is approached to perform an audit for the first time, the CPA should make inquiries of the predecessor auditor. This is a necessary procedure because the predecessor may be able to provide the successor with information that will assist the successor in determining a. Whether, in the predecessor's opinion, internal control of the company has been satisfactory. b. Whether the engagement should be accepted. c. Whether the predecessor's work should be utilized. d. Whether the company follows the policy of rotating its auditors.

Description : When a CPA is approached to perform an audit for the first time, the CPA should make inquiries of the predecessor auditor. This is a necessary procedure because the predecessor may be able to provide ... 's work should be utilized. d. Whether the company follows the policy of rotating its auditors.

Last Answer : Whether the engagement should be accepted.

A professional accountant may be associated with a tax return that a. Contains a false or misleading statement. b. Contains statements or information furnished recklessly or without any real knowledge of whether they are true or false. c. Omits or obscures information required to be submitted and such omission or obscurity would mislead the revenue authorities. d. Uses of estimates if such use is generally acceptable or if it is impractical under the circumstances to obtain exact data

Description : A professional accountant may be associated with a tax return that a. Contains a false or misleading statement. b. Contains statements or information furnished recklessly or without any real ... use is generally acceptable or if it is impractical under the circumstances to obtain exact data

Last Answer : Uses of estimates if such use is generally acceptable or if it is impractical under the circumstances to obtain exact data

A CPA firm would be reasonably assured of meeting its responsibility to provide professional services that conform with professional standards by: a. Maintaining an attitude of independence in its engagements. b. Adherence to generally accepted auditing standards. c. Having an appropriate a system of quality control. d. Continuing professional education.

Description : A CPA firm would be reasonably assured of meeting its responsibility to provide professional services that conform with professional standards by: a. Maintaining an attitude of independence in its ... c. Having an appropriate a system of quality control. d. Continuing professional education.

Last Answer : Having an appropriate a system of quality contro

A CPA firm would be reasonable assured of meeting its responsibility to provide professional services that conform with professional standards by: a. Adherence to GAAS b. Maintaining an attitude of independence in its engagements. c. Having an appropriate a system of quality control. d. Joining professional societies that enforce ethical standards

Description : A CPA firm would be reasonable assured of meeting its responsibility to provide professional services that conform with professional standards by: a. Adherence to GAAS b. Maintaining an ... appropriate a system of quality control. d. Joining professional societies that enforce ethical standards

Last Answer : Having an appropriate a system of quality control.

Which one of the following is an example of management expectations from the independent auditors? a. An expert providing a written communication as the product of the engagement. b. Individuals who perform day-to-day accounting functions on behalf of the company. C. AN active participant in management decision-making. d. An internal source of expertise on financial and other matters

Description : Which one of the following is an example of management expectations from the independent auditors? a. An expert providing a written communication as the product of the engagement. b. Individuals who ... in management decision-making. d. An internal source of expertise on financial and other matters

Last Answer : An expert providing a written communication as the product of the engagement

If a CPA recklessly abandons standards of due care and diligence while performing an audit, he or she may be held liable tounknown third parties for:a. Gross negligence.b. Fraudulent misconduct.c. Gross misconduct.d. Contributory negligence.

Description : If a CPA recklessly abandons standards of due care and diligence while performing an audit, he or she may be held liable to unknown third parties for: a. Gross negligence. b. Fraudulent misconduct. c. Gross misconduct. d. Contributory negligence.

Last Answer : Gross negligence

Which of the following most completely describes how independence has been defined by the CPA profession? a. Performing an audit from the viewpoint of the public. b. Avoiding the appearance of significant interests in the affairs of an audit client. c. Possessing the ability to act with integrity and objectivity. d. Possessing the ability to act professionally and accordance with a professional code of ethics.

Description : Which of the following most completely describes how independence has been defined by the CPA profession? a. Performing an audit from the viewpoint of the public. b. Avoiding the appearance of ... . d. Possessing the ability to act professionally and accordance with a professional code of ethics.

Last Answer : Possessing the ability to act with integrity and objectivity.

A CPA, while performing an audit, strives to achieve independence in appearance in order to a. Reduce risk and liability. b. Comply with the generally accepted standards of fieldwork. c. Become independent in fact. d. Maintain public confidence in the profession

Description : A CPA, while performing an audit, strives to achieve independence in appearance in order to a. Reduce risk and liability. b. Comply with the generally accepted standards of fieldwork. c. Become independent in fact. d. Maintain public confidence in the profession

Last Answer : Maintain public confidence in the profession

A CPA in public accounting is prohibited from performing which of the following actions? a. Permit the publication of his being the author of a book. b. Be a party to a stratagem which permits a non-CPA to practice accountancy. c. Allow his wife to acquire shares in a corporation's capital stockd. Act as a stock and transfer agent.

Description : A CPA in public accounting is prohibited from performing which of the following actions? a. Permit the publication of his being the author of a book. b. Be a party to a stratagem which permits a non ... his wife to acquire shares in a corporation's capital stock. d. Act as a stock and transfer agent

Last Answer : Be a party to a stratagem which permits a non-CPA to practice accountancy

A CPA, while performing an audit, strives to achieve independence in appearance in order to: a. Reduce risk and liability. b. Become independent in fact. c. Comply with GAAS. d. Maintain public confidence in the profession.

Description : A CPA, while performing an audit, strives to achieve independence in appearance in order to: a. Reduce risk and liability. b. Become independent in fact. c. Comply with GAAS. d. Maintain public confidence in the profession.

Last Answer : Maintain public confidence in the profession.

Assurance engagements encompass the following types of services, except: a. Audit of historical financial statements. b. Review engagements. c. Management consulting. d. Attestation services

Description : Assurance engagements encompass the following types of services, except: a. Audit of historical financial statements. b. Review engagements. c. Management consulting. d. Attestation services

Last Answer : Management consulting.

Identify the correct statement. a. Accounting services do not provide attestation. b. Management consulting services provide attestation in all cases. c. An audit provides limited assurance by attesting to the fairness of the client's assertions. d. A review provides positive assurance by attesting the reliability of the client's assertions

Description : Identify the correct statement. a. Accounting services do not provide attestation. b. Management consulting services provide attestation in all cases. c. An audit provides limited assurance by ... d. A review provides positive assurance by attesting the reliability of the client's assertions

Last Answer : Accounting services do not provide attestation

The three types of attestation services are: a. Audits, review, and compilations b. Reviews, compilations, and other attestation services c. Audits, compilations, and other attestation services d. Audits, reviews, and other attestation services

Description : The three types of attestation services are: a. Audits, review, and compilations b. Reviews, compilations, and other attestation services c. Audits, compilations, and other attestation services d. Audits, reviews, and other attestation services

Last Answer : Audits, reviews, and other attestation services

The confidential relationship applies to a. All services provided by CPAs. b. Only audit and attestation services. c. Audit and tax services, but no MAS services. d. Audit and MAS services, but not tax services

Description : The confidential relationship applies to a. All services provided by CPAs. b. Only audit and attestation services. c. Audit and tax services, but no MAS services. d. Audit and MAS services, but not tax services

Last Answer : All services provided by CPAs

Which of the following services provides positive assurance through attestation? a. Tax services b. Review c. Auditing d. Accounting services

Description : Which of the following services provides positive assurance through attestation? a. Tax services b. Review c. Auditing d. Accounting services

Last Answer : Auditing

Of the following, which is the broadest concept? a. Internal control audit. b. Audit of financial statements. c. Attestation services. d. Assurance services.

Description : Of the following, which is the broadest concept? a. Internal control audit. b. Audit of financial statements. c. Attestation services. d. Assurance services.

Last Answer : Assurance services.

The confidential relationship applies to a. All services provided by CPAs.b. Only audit and attestation services. c. Audit and tax services, but no MAS services. d. Audit and MAS services, but not tax services

Description : The confidential relationship applies to a. All services provided by CPAs. b. Only audit and attestation services. c. Audit and tax services, but no MAS services. d. Audit and MAS services, but not tax services

Last Answer : All services provided by CPAs.

There are fundamental principles that the professional accountant has to observe when performing assurance engagements. The requirement of which principle is of particular importance in an assurance engagement in ensuring that the conclusion of the professional accountant has value to the intended user? a. Integrity b. Confidentiality c. Professional competence d. Objectivity

Description : There are fundamental principles that the professional accountant has to observe when performing assurance engagements. The requirement of which principle is of particular importance in an assurance ... the intended user? a. Integrity b. Confidentiality c. Professional competence d. Objectivity

Last Answer : Objectivity

In determining estimates of fees, an auditor may take into account each of the following, except the: a. Value of the service to the client b. Degree of responsibility assumed by undertaking the engagement. c. Skills required to perform the service. d. Attainment of specific findings

Description : In determining estimates of fees, an auditor may take into account each of the following, except the: a. Value of the service to the client b. Degree of responsibility assumed by undertaking the engagement. c. Skills required to perform the service. d. Attainment of specific findings

Last Answer : Attainment of specific findings

Assurance services involve all the following except: a. Improving the quality of information for decision purposes. b. Improving the quality of the decision model used. c. Improving the relevance of information. d. Implementing a system that improves the processing of information

Description : Assurance services involve all the following except: a. Improving the quality of information for decision purposes. b. Improving the quality of the decision model used. c. Improving the relevance of information. d. Implementing a system that improves the processing of information

Last Answer : Implementing a system that improves the processing of information

A practitioner should accept an assurance engagement only if a. The practitioner's conclusion is to be contained in a written report. b. The subject matter is the responsibility of either the intended users or the practitioner. c. The subject matter is in the form of financial information. d. The criteria to be used are not available to the intended users

Description : A practitioner should accept an assurance engagement only if a. The practitioner's conclusion is to be contained in a written report. b. The subject matter is the responsibility of either the intended ... of financial information. d. The criteria to be used are not available to the intended users

Last Answer : The practitioner's conclusion is to be contained in a written report.

Which of the following is incorrect regarding a compilation engagement? a. The CPA uses his auditing expertise to collect, classify and summarize financial information. b. The CPA should exercise due care. c. The engagement ordinarily entails reducing detailed data to a manageable and understandable form. d. The procedures performed do not enable the accountant to express any form of assurance.

Description : Which of the following is incorrect regarding a compilation engagement? a. The CPA uses his auditing expertise to collect, classify and summarize financial information. b. The CPA should exercise due ... . d. The procedures performed do not enable the accountant to express any form of assurance.

Last Answer : The CPA uses his auditing expertise to collect, classify and summarize financial information

Which of the following is incorrect regarding a compilation engagement? a. The CPA uses his auditing expertise to collect, classify and summarize financial information. b. The CPA should exercise due care. c. The engagement ordinarily entails reducing detailed data to a manageable and understandable form. d. The procedures performed do not enable the accountant to express any form of assurance

Description : Which of the following is incorrect regarding a compilation engagement? a. The CPA uses his auditing expertise to collect, classify and summarize financial information. b. The CPA should exercise due ... form. d. The procedures performed do not enable the accountant to express any form of assurance

Last Answer : The CPA uses his auditing expertise to collect, classify and summarize financial information.