Acc 550 - Study guides, Class notes & Summaries

the omission or misstatement of an item in a financial report is material if, in the light of surrounding circumstances, the magnitude of the item is such that it is probable that the judgment of a reasonable person relying upon the report would have be been changed or influenced by the inclusion or correction of the item - ANSWER What is materiality? a substantial likelihood that the disclosure of the omitted fact would have been viewed by the reasonable investor as having significantly al...

an attitude that includes a questioning mind, being alert to conditions that may indicate possible misstatement due to fraud or error, and a critical assessment of audit evidence; includes questioning contradictory audit evidence and considering sufficiency and appropriateness of audit evidence obtained - ANSWER Define professional skepticism. What does it include? -questioning mind -suspension of judgment (neutral mindset) -search for knowledge -interpersonal understanding (what is the ...

planning the audit, how does materiality play a role? - ANSWER materiality is a matter of professional judgement, determine materiality for financial statements as a whole, provides basis for: nature and extent of risk assessment procedures, ID risks of material misstatement, determine procedures how to determine materiality - ANSWER start with a firm provided benchmark, adjust for qualitative concerns

What company's CEO was named Business Week's CEO of the year for 2001? - ANSWER TYCO CEO, DENNIS KOZLOWSKI What CEO said, "We are the good guys. We are on the side of angels"? - ANSWER Jeffrey Skilling, Enron What companies' CFOs were named CFO of the year for 1999, 2000, and 2001 by CFO magazine? - ANSWER Enron, Worldcom, Tyco

accrual base of accounting - ANSWER Accounting basis in which companies record, in the periods in which the events occur, transactions that change a company's financial statements, even if cash was not exchanged. cash basis of accounting - ANSWER Reporting income when the cash is received and expenses when the cash is paid.

Physics 1603 Exam Chapter 5-7 exam Review questions and answers 2024 You and your friend, who weighs the same as you, want to go to the top of the Eiffel Tower. Your friend takes the elevator straight up. You decide to walk up the spiral stairway, taking longer to do so. Compare the gravitational potential energy of you and your friend, after you both reach the top. - ANSWER Both of you have the same amount of gravitational potential energy at the top. A stone can slide down one of f...

A306 FINAL EXAM Questions With Verified Answers. An effective performance evaluation will do what? - answerReward behavior that benefits the company and will include multiple performance measures A company provides the following info:Material price variance: 800F, Material spending variance: 250FBudgeted material/unit: 1.5 ft, Budgeted material price: $6/ftActual units produced: 100, Budgeted units produced: 120 What is the material quantity variance? - answer$550 U SQA: 100units*1.5ft =...

Why is the PCAOB's audit documentation retention requirement longer than AICPA & ISA? - ANSWER It takes longer for litigation to form for public companies, so PCAOB wanted the longer time frame in order to have the documentation when needed. Report Release Date - ANSWER date auditor grants permission to use the auditor's report

according to the IIA, continuing professional development activities may include a. up to 8 hours of ethics training of which 4 hours are mandatory for nonpracticing CIAs b. participating in conferences, online and classroom courses, and webinars c. completion of at least 40 hours of continuing professional education annually by nonpractitioners d. earning an advanced degree in any field - ANSWER B

which of the following audit committee activities is of the greatest benefit to internal audit activity? a. review and endorsement of all internal auditing engagement communications prior to their release b. assurance that the external auditor will rely on the work of the internal audit activity whenever possible c. review and approval of engagement work programs d. determine whether scope limitations impede the ability of the internal audit activity to execute its responsibilities - ANS...