問題一覧
1
Philippine Framework for Assurance Engagements defines and describes the elements and objectives of an assurance engagement. Philippine Standards on Assurance Engagements contain basic principles, essential procedures, and related guidance, consistent with the concepts in the Framework, for the performance of assurance engagements.
Both statements are correct.
2
Which of the following is not an assurance service?
Preparation of income tax returns and attachments.
3
Which of the following professional services would be considered an assurance engagement?
An engagement to report on compliance of a client with a loan agreement.
4
Which of the following statements does not describe a condition that creates a demand for auditing?
Information can have minimal economic consequences for a decision maker.
5
CPAs in public practice who perform assurance engagements are governed by the following, except
Philippine Standards on Related Services
6
Assurance services are best described as
Independent professional services that improve the quality of information, or its context, for decision makers.
7
Which of the following best describes the objective of an assurance engagement?
To enhance the credibility of information being provided by one party to another in such a way that the other party receiving the information will be able to use it in making informed decisions.
8
The following engagements may meet the definition of assurance engagement but are not covered by the Framework: I. Engagements to testify in legal proceedings regarding accounting, auditing, taxation, or other matters. II. Engagements that include professional opinions, views or wording from which a user may derive some assurance, but those opinions, views or wordings are incidental only to overall engagement, a written report is expressly restricted in use by specified users, there is a written understanding with the users that the engagement is not intended to be an assurance engagement, and the engagement is not represented as an assurance engagement in the report. III. An assurance engagement which is part of a larger consulting engagement.
I and II only
9
A practitioner performed a non-assurance engagement with a client. Which of the following statements are allowed to be included in the report of the practitioner?
None of the Above
10
A proposed assurance engagement can only be accepted when I. The CPA’s preliminary knowledge about the engagement circumstances indicates that relevant ethical requirements will be satisfied. II. The subject matter of the engagement is appropriate, the criteria to be used are suitable and are available to intended users, the practitioner has access to sufficient appropriate evidence to support the conclusion, and the conclusion is to be contained in a written report. III. Thereisarationalpurposefortheengagement.
I, II, and III.
11
Which of the following statements is incorrect regarding the three-party relationship element of assurance engagement?
The practitioner is expected to perform audit services only.
12
Which of the following items can be a subject matter of an assurance engagement?
All of the above.
13
When is a subject matter considered appropriate?
Both a and b.
14
In an assurance engagement, the outcome of the evaluation or measurement of a subject matter against criteria is called
Subject matter information
15
When performing an assurance engagement, CPAs use standards or benchmarks to evaluate or measure the subject matter of an assurance engagement. These are referred to in the framework as
Criteria
16
Which of the following statements refer to the ‘Relevance’ characteristic of suitable criteria for assurance engagements?
Contributes to conclusions that assist decision-making by the intended users.
17
Criteria that are embodied in laws, regulations, or issued by authorized or recognized bodies of experts that follow a transparent due process are called
Established criteria
18
Criteria may be made available to intended users to allow them to understand how the subject matter has been evaluated or measured. Criteria may also be available only to specific intended users, for example the terms of a contract, or criteria issued by an industry association that are available only to those in the industry.
Only Statement 2 is correct
19
In determining the nature, timing and extent of evidence-gathering procedures, the CPA considers
All of the above
20
Which of the following statements is incorrect?
None of the above.
21
Which of the following is incorrect concerning evidence in an assurance engagement?
Sufficiency and appropriateness of evidence are not interrelated with each other.
22
Written assurance report is required for assurance engagements. Written report encompass hard copy reports and those in electronic format.
Both statements are correct
23
An unqualified conclusion is appropriate when
Neither a and b
24
What type of assurance engagement is involved when the practitioner expresses a positive form of conclusion?
Reasonable assurance engagement
25
Which of the following is (are) characteristic(s) of a limited assurance engagement?
All of the above
26
In some assurance engagements, the evaluation or measurement of the subject matter performed by the responsible party, and the subject matter information is in the form of an assertion by the responsible party that is made available to intended users. These engagements are called
Assertion-based engagements
27
The following are characteristics of direct reporting assurance engagements, except
The subject matter information is in the form of an assertion by the responsible party that is made available to the intended users.
28
Which of the following is not a limitation of assurance services provided by professional accountants?
The practitioner does not possess the qualifications for some complex subject matters.
29
Engagements frequently performed by professional accountants that are not assurance engagements include the following, except
Reasonable assurance engagement
30
In an engagement to perform agreed-upon procedures, an auditor is engaged to
Carry out those procedures of an audit nature to which the auditor and the entity and any appropriate third parties have agreed and to report on factual findings.