strayer ACC403 week 4 quiz 3

Question 1
2 out of 2 points
Correct
The principal issue to be resolved in cases involving
alleged negligence is usually:
Question 2
2 out of 2 points
Correct
The laws that have been developed through court decisions
are called:
Answer
Question 3
2 out of 2 points
Correct
The preferred defense in third party suits is:
Question 4
2 out of 2 points
Correct
To succeed in an action against the auditor, the client must
be able to show that:
Question 5
2 out of 2 points
Correct
A(n) ________ failure occurs when an auditor issues an
erroneous opinion because it failed to comply with requirements of auditing
standards.
Question 6
2 out of 2 points
Correct
The standard of due care to which the auditor is expected to
adhere to in the performance of the audit is referred to as the:
Question 7
2 out of 2 points
Correct
The principal issue in cases involving alleged negligence is
usually:
Answer
Question 8
2 out of 2 points
Correct
If an auditor fails to fulfill a certain requirement in the
contract, they may be guilty of:
Question 9
2 out of 2 points
Correct
The Foreign Corrupt Practices Act (FCPA) of 1977:
Answer
Question 10
2 out of 2 points
Correct
Which of the following most accurately describes fraud?
Answer
Question 11
2 out of 2 points
Correct
In an action against a CPA in a jurisdiction that follows
the Ultramares doctrine, lack of privity is a viable defense provided the
plaintiff:
Answer
Question 12
2 out of 2 points
Correct
Fraud occurs when:
Answer
Question 13
2 out of 2 points
Correct
Under the laws of agency, partners of a CPA firm may be
liable for the work of others on whom they rely. This would not include:
Answer
Question 14
2 out of 2 points
Correct
The expectation gap:
Answer
Question 15
2 out of 2 points
Correct
A common way for a CPA firm to demonstrate a lack of duty to
perform is by use of a(n):
Answer
Question 16
2 out of 2 points
Correct
When an auditor believes that an illegal act may have
occurred, the auditor should first:
Answer
Question 17
2 out of 2 points
Correct
Which of the following assertions is described as “this
assertion addresses whether all transactions that should be included in the
financial statements are in fact included”?
Answer
Question 18
2 out of 2 points
Correct
“The auditor should not assume that management is
dishonest, but the possibility of dishonesty must be considered.” This is
an example of:
Answer
Question 19
2 out of 2 points
Correct
In testing for cutoff, the objective is to determine:
Answer
Question 20
2 out of 2 points
Correct
When dealing with laws and regulations that do not have a
direct effect on the financial statements, the auditor:
Answer
Question 21
2 out of 2 points
Correct
If a short-term note payable is included in the accounts
payable balance on the financial statement, there is a violation of the:
Answer
Question 22
2 out of 2 points
Correct
Fraudulent financial reporting is most likely to be
committed by whom?
Answer
Question 23
2 out of 2 points
Correct
If the auditor believes that the financial statements are
not fairly stated or is unable to reach a conclusion because of insufficient
evidence, the auditor:
Answer
Question 24
2 out of 2 points
Correct
A questioning mindset:
Answer
Question 25
2 out of 2 points
Correct
Which of the following is the auditor least likely to do
when aware of an illegal act?
Answer
Question 26
2 out of 2 points
Correct
The most important general ledger account included in and
affecting several cycles is the:
Answer
Question 27
2 out of 2 points
Correct
The auditor has no responsibility to plan and perform the
audit to obtain reasonable assurance that misstatements, whether caused by
errors or fraud, that are not ________ are detected.
Answer
Question 28
2 out of 2 points
Correct
Auditors accumulate evidence to:
Answer
Question 29
2 out of 2 points
Correct
Which of the following statements is the most correct
regarding errors and fraud?
Question 30
2 out of 2 points
Correct
The responsibility for adopting sound accounting policies
and maintaining adequate internal control rests with the: