[jeff]

Welcome to the Q2 2015 CPA Exam Study Group for AUD.

World Premier: “Unmodified” (Audit Reports Rap Video) 🙂

Posted by Another71 on Thursday, November 13, 2014

Free NINJA: https://www.another71.com/cpa-exam-study-plan/

AUD - 79
BEC - 80
FAR - 76
REG - 92

Jeff Elliott, CPA (KS)
NINJA CPA | NINJA CMA | NINJA CPE | Another71

[trish_1234]

Thanks Martin will work on it!

Nora you are on our boat so. SIMS sucks

AUD 69, 92 7/15 Gleim and Ninja test bank
FAR sometime in 10/15 Gleim
BEC not taken
REG not taken

[trish_1234]

Did you guys see that Jeff has a list of all the sims by topic on the forum?

AUD 69, 92 7/15 Gleim and Ninja test bank
FAR sometime in 10/15 Gleim
BEC not taken
REG not taken

[Martin]

In making risk assessments, the auditor should identify and document the controls that are likely to prevent or detect and correct material misstatements in specific relevant assertions. Controls can either be directly or indirectly related to an assertion in which of the following ways?

A.

The more indirect the relationship, the less effective that control may be.

B.

The more indirect the relationship, the more effective that control may be.

C.

The more direct the relationship, the higher the overall control risk may be.

D.

The more direct the relationship, the lower the overall control risk may be.

Through God all things can happen!

“You never fail until you stop trying.”
― Albert Einstein
When I was young, I used to admire intelligent people;as I grow older, I admire kind people.
“Just keep swimming, just keep swimming.”

FAR= 72-84
Audit= 73-82
BEC= 74-75
Reg=77

[trish_1234]

D

wild guess

AUD 69, 92 7/15 Gleim and Ninja test bank
FAR sometime in 10/15 Gleim
BEC not taken
REG not taken

[trish_1234]

OMG Martin thank you for the SIMS … That is my weak area doing right now

AUD 69, 92 7/15 Gleim and Ninja test bank
FAR sometime in 10/15 Gleim
BEC not taken
REG not taken

[plotikkk85]

Question 1.

Clark, CPA, compiled and properly reported on the financial statements of Green Co., a nonissuer, for the year ended March 31, Year 1. These financial statements omitted substantially all disclosures required by generally accepted accounting principles (GAAP). Green asked Clark to compile the statements for the year ended March 31, Year 2, and to include all GAAP disclosures for the Year 2 statements only, but otherwise present both years' financial statements in comparative form. What is Clark's responsibility concerning the proposed engagement?

a. Clark may report on the comparative financial statements provided Clark updates the report on the Year 1 statements that do not include the GAAP disclosures.

b. Clark may not report on the comparative financial statements because the Year 1 statements are not comparable to the Year 2 statements that include the GAAP disclosures.

c. Clark may report on the comparative financial statements provided the Year 1 statements do not contain any obvious material misstatements.

d. Clark may report on the comparative financial statements provided an explanatory paragraph is added to Clark's report on the comparative financial statements.

[plotikkk85]

Question 2.

When unaudited financial statements are presented in comparative form with audited financial statements

in a document filed with the Securities and Exchange Commission, such statements should be:

Marked as “Unaudited”—-Withheld until audited

---

Referred to in the auditor's report

1. NO

---

YES

---

YES

2. YES

---

NO

---

YES

3. YES

---

NO

---

NO

4. NO

---

YES

---

NO

[trish_1234]

D ?!?!?!

I dont understand the second question at all

C?

the unaudited statements should be clearly marked as unaudited and the auditor should not refer to those statements in the report so I am guessing C

But I really dont understand what until means in the “Marked as—- until

---

the auditors”

AUD 69, 92 7/15 Gleim and Ninja test bank
FAR sometime in 10/15 Gleim
BEC not taken
REG not taken

[plotikkk85]

@Trish! Sorry about it…. I tried my best to format it.

These questions were hard for me.

Q1 – B. Compiled financial statements that omit substantially all the disclosures required by GAAP are not comparable to financial statements that do include required GAAP disclosures. Accordingly, the Year 1 statements are not comparable to the Year 2 statements and Clark cannot report on them.

Q2 – C. When unaudited financial statements are presented in comparative form with audited financial statements in documents filed with the SEC, such statements should be clearly marked as “unaudited,” but should not be referred to in the auditor's report. The statements need not be withheld until audited.

[pharaoh]

I am not there yet but I think the answer for Question 1 is b and Question 2 is c

AUD - 93
BEC - 79
FAR - 84
REG - 83

Roger & Ninja MCQ

DONE

FAR 8/2016
AUD 1/2017
REG TBD
BEC TBD

[ladybossxo]

@Martin: Thank you!! I think I know which question you're talking about. If I am not mistaken, I think it is the one where there are 15 questions and you have to identify what type of control will eliminate fraud/error.

I think the answer to your question is A

CPA Exams Done.

[ladybossxo]

@Trish: The first question @plotikkk85 posted, I don't know if you're using Becker, but it is in A-2 Reporting on Comparative Financial Statements – II. Other Requirements: Omission of Required Disclosures

“Compiled FS that omit substantially all of the disclosures required by GAAP are not comparable to FS including such disclosures. The accountant should not issue a report on comparative FS when statements for one or more, but not all, of the periods presented omit substantially all of the disclosures required by GAAP”

CPA Exams Done.

[trish_1234]

@ plot great questions 🙂 thanks. I didn't know the first question

AUD 69, 92 7/15 Gleim and Ninja test bank
FAR sometime in 10/15 Gleim
BEC not taken
REG not taken

[trish_1234]

One of two office clerks in a small company prepares a sales invoice for $4,300; however, the invoice is incorrectly entered by the bookkeeper in the general ledger and the accounts receivable subsidiary ledger as $3,400. The customer subsequently remits $3,400, the amount on the monthly statement. Assuming there are only three employees in the department, the most effective control to prevent this type of error is

A. Using predetermined totals to control posting routines.

B. Requiring the bookkeeper to perform periodic reconciliations of the accounts receivable subsidiary ledger and the general ledger.

C. Requiring that monthly statements be prepared by the bookkeeper and verified by one of the other office clerks prior to mailing.

D. Assigning the second office clerk to independently check the sales invoice prices, discounts, extensions, and footings and to account for the invoice serial number.

AUD 69, 92 7/15 Gleim and Ninja test bank
FAR sometime in 10/15 Gleim
BEC not taken
REG not taken

[NoraU]

A?

BEC 05/12/14 77
REG 08/25/14 82
FAR 11/25/14 80
AUD 02/25/15 72, 05/15/15 98! DONE!!!!!!!!!!!!!!!!!!!!!!

[Author]

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