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AAA Quality management and acceptance

7 سوالات: اے سی سی اے اسٹریٹجک پروفیشنل، جوابات اور وضاحت کے ساتھ۔

جوابی کنجی کے ساتھ قابلِ پرنٹ ورک شیٹ

تمام سوالات جوابات کے ساتھ
  1. Under quality management standards, the firm's system should address:

    • 1 Only the audit fee
    • 2 Only the audit report
    • 3 Governance and leadership, ethics, acceptance, engagement performance, resources, information and monitoring
    • 4 Only independence
    جواب دیکھیں

    درست جواب: Governance and leadership, ethics, acceptance, engagement performance, resources, information and monitoring

    These are components in ISQM 1, which also stresses a risk based approach.

    غلطی کی اطلاع دیں

  2. An engagement quality review is usually required for:

    • 1 All audits
    • 2 Only tax work
    • 3 No audits
    • 4 Audits of listed entities and other higher risk engagements
    جواب دیکھیں

    درست جواب: Audits of listed entities and other higher risk engagements

    It is an objective evaluation of significant judgements before the report is issued.

    غلطی کی اطلاع دیں

  3. Before accepting a new audit client, the firm should consider:

    • 1 Only the fee
    • 2 Only the sector
    • 3 Only the size
    • 4 Its integrity, independence, competence and resources, and the risk
    جواب دیکھیں

    درست جواب: Its integrity, independence, competence and resources, and the risk

    Acceptance procedures help to reduce risk of association with a client who lacks integrity.

    غلطی کی اطلاع دیں

  4. An incoming auditor, with the client's permission, should:

    • 1 Communicate with the outgoing auditor about any professional reasons for the change
    • 2 Accept without enquiry
    • 3 Contact the press
    • 4 Contact the client's competitors
    جواب دیکھیں

    درست جواب: Communicate with the outgoing auditor about any professional reasons for the change

    The incoming auditor needs to know whether there are reasons not to accept.

    غلطی کی اطلاع دیں

  5. A contingent fee, where the fee depends on the result of the audit, creates:

    • 1 An advocacy threat only
    • 2 A familiarity threat only
    • 3 A self-interest threat that is usually too significant to accept
    • 4 No threat
    جواب دیکھیں

    درست جواب: A self-interest threat that is usually too significant to accept

    Contingent fees for audit work are generally prohibited.

    غلطی کی اطلاع دیں

  6. Fees from one client that are a large proportion of the firm's total income create:

    • 1 No threat
    • 2 An advocacy threat
    • 3 A self-interest or intimidation threat
    • 4 A self-review threat
    جواب دیکھیں

    درست جواب: A self-interest or intimidation threat

    The firm may be reluctant to lose the client, and so may be less objective.

    غلطی کی اطلاع دیں

  7. Fees that have been overdue for a long time can threaten independence because they:

    • 1 Remove the engagement letter
    • 2 Prove integrity
    • 3 May be like a loan to the client
    • 4 Reduce the audit risk
    جواب دیکھیں

    درست جواب: May be like a loan to the client

    Significant overdue fees can be a self-interest threat.

    غلطی کی اطلاع دیں

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