RIZAL TECHNOLOGICAL UNIVERSITY

Boni Avenue, Brgy. Malamig, Mandaluyong City

APPLIED AUDITING REVIEW OF AUDITING PRINCIPLES 2017 1ST SEMESTER BATCH
1st LONG QUIZ JUNE 24, 2017

Answers:

(1) A
(2) A
(3) B
(4) A
(5) D
(6) B
(7) C
(8) D
(9) A
(10)D
(11)A
(12)D
(13)B
(14)B
(15)A
(16)A
(17)B
(18)A
(19)A
(20)B
(21)A
(22)B
(23)B
(24)B
(25)D
(26)C
(27)A
(28)D
(29)D
(30)C test of existence = from records to documents
(31)C
(32)D
(33)D
(34)B is correct (in fact is also known as in mind; A is for independence in appearance
(35)D
(36)B
(37)C
(38)D
(39)B
(40)B

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 RIZAL TECHNOLOGICAL UNIVERSITY
Boni Avenue, Brgy. Malamig, Mandaluyong City
APPLIED AUDITING REVIEW OF AUDITING PRINCIPLES 2017 1ST SEMESTER BATCH
1st LONG QUIZ JUNE 24, 2017

(41)D
(42)A
(43)A
(44)B
(45)A
(46)D
(47)B
(48)D Outer circle = Name on top and license number on bottom; smaller circle = CPA
(49)D
(50)D
(51)D
(52)B
(53)C
(54)D
(55)C
(56)C
(57)C
(58)B CPA certificate represents basic competence in the profession
(59)D only a material misstatement and not a scope limitation
(60)A
(61)A
(62)B
(63)A Validity means test of existence = vouching is a test of existence
(64)D
(65)D
(66)A
(67)B
(68)D
(69)A
(70)B
(71)B
(72)C
(73)A
(74)C cut-off means completeness test
(75)C from documents to records = completeness
(76)D SHIPMENT has occurred have been recorded?? Measures test of completeness (from
documents to records) So, saan dapat kumuha ng samples? Sa BOL.
(77)B
(78)C SA is required to communicate with the PA
(79)D is correct. A preliminary audit strategy may reflect (1) the planned assessed level of control
risk, (2) the extent of the understanding of the IC, (3) test of controls that may be performed, (4)
the planned level of ST to be performed

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 RIZAL TECHNOLOGICAL UNIVERSITY
Boni Avenue, Brgy. Malamig, Mandaluyong City
APPLIED AUDITING REVIEW OF AUDITING PRINCIPLES 2017 1ST SEMESTER BATCH
1st LONG QUIZ JUNE 24, 2017

(80)B (see page 3 of Engagement Planning test bank)

(81)B
(82)B
(83)A
(84)D
(85)A
(86)D
(87)B
(88)C
(89)A
(90)C
(91)A
(92)C
(93)A
(94)B
(95)D
(96)A
(97)C P6,000
Formula for Sampling Interval is:
Sampling Interval = Tolerable Misstatement
Or
Sample Size = Recorded Amount/ Sampling Interval
SS? = 5,000 RA/10,000 SI
Sample Size = 0.50
When Sampling Interval > Recorded Amount, compute the projected error/projected
misstatement:
Recorded amount P 5,000
Less: Audited value 2,000
Detected misstatement 3,000
Divide: Sample size 0.50
Projected misstatement P 6,000
(98)C
(99)B P2,000 (RA > SI)
(100) B

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 RIZAL TECHNOLOGICAL UNIVERSITY
Boni Avenue, Brgy. Malamig, Mandaluyong City
APPLIED AUDITING REVIEW OF AUDITING PRINCIPLES 2017 1ST SEMESTER BATCH
1st LONG QUIZ JUNE 24, 2017

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