Based on the credibility in this industry, our AA Notes study braindumps have occupied a relatively larger market share and stable sources of customers. Such a startling figure --99% pass rate is not common in this field, but we have made it with our endless efforts. The system of AA Notes test guide will keep track of your learning progress in the whole course. Passing the AA Notes certification can prove that and help you realize your goal and if you buy our AA Notes quiz prep you will pass the exam successfully. Our product is compiled by experts and approved by professionals with years of experiences. According to personal preference and budget choice, choosing the right goods to join the shopping cart.
Certified Public Accountant AA It is very easy and convenient to use and find.
As the employment situation becoming more and more rigorous, it’s necessary for people to acquire more AA - Audit & Insurance Notes skills and knowledge when they are looking for a job. Their masterpieces are instrumental to offer help and improve your performance in the real exam. Being dedicated to these practice materials painstakingly and pooling useful points into our AA Latest Test Collection Free exam materials with perfect arrangement and scientific compilation of messages, our AA Latest Test Collection Free practice materials can propel the exam candidates to practice with efficiency.
There is an old saying goes, good memory is inferior to sodden ability to write, so we believe that it is a highly productive way for you to memory the knowledge point and review the reference books more effectively. Besides our AA Notes exam torrent support free demo download, as we mentioned before, it is an ideal way for you to be fully aware of our AA Notes prep guide and then purchasing them if suitable and satisfactory. There is no doubt that among our three different versions of AA Notes guide torrent, the most prevalent one is PDF version, and this is particularly suitable and welcomed by youngsters.
CPA AA Notes - What is more, we offer customer services 24/7.
Obtaining the AA Notes certification is not an easy task. Only a few people can pass it successfully. If you want to be one of them, please allow me to recommend the AA Notes learning questions from our company to you, the superb quality of AA Notes exam braindumps we've developed for has successfully helped thousands of candidates to realize their dreams. And our AA Notes study materials have helped so many customers pass the exam.
Audit & Insurance study questions provide free trial service for consumers. If you are interested in AA Notes exam material, you only need to enter our official website, and you can immediately download and experience our trial PDF file for free.
AA PDF DEMO:
QUESTION NO: 1
Internal auditors must exercise due care if they are to meet their responsibilities for fraud detection. Thus, the existence of certain conditions should raise auditor's professional scepticism concerning possible fraud. Which of the following is most likely to be considered as an indication of possible fraud?
A. A new management team installed as the result of a takeover.
B. Rapid turnover of financial executives.
C. Rapid expansion into new markets.
D. Tax authorities' audit of tax returns.
Answer: B
QUESTION NO: 2
An auditor performs an analytical review by comparing the gross margins of various divisional operations with those of other divisions and with the individual division's performance in previous years. The auditor notes a significant increase in the gross margin at one division. The auditor does the preliminary investigation and notes that there were no changes in products, production methods, or divisional management during the year.
Based on the above information, the most likely cause of the increase in gross margin would be
A. An increase in the number of competitors selling similar products.
B. A decrease in the number of suppliers of the material used in manufacturing the product.
C. An overstatement of year-end inventory.
D. An understatement of year-end accounts receivable.
Answer: C
QUESTION NO: 3
John has been given the following draft figures for Kulran Ltd for the year ended 30 June 2011 to analyse. Materiality has been set at $35,000 and the finance director has told John in a planning meeting that there have been few changes in the year. Budgets were set at 2010 levels and there have been no major movements in non-current assets.
20112010
$$
Revenue3,497,2843,487,286
Cost of sales1,867,2942,008,967
Salaries467,900420,975
Which of the following is normally designed to detect possible material monetary errors in the above figures of financial statements?
A. Test of control
B. Walk-through test
C. Analytical procedure
D. Observation of a procedure
Answer: C
QUESTION NO: 4
The internal auditing department has been assigned to perform an audit of a division. Based on background review, the auditor knows the following about management policies:
Company policy is to rapidly promote divisional managers who show significant success. Thus, successful managers rarely stay at a division for more than three years.
A significant portion of division management's compensation comes in the form of bonuses based on the division's profitability.
The division was identified by senior management as a turnaround opportunity. The division is growing, but is not scheduled for a full audit by the external auditors this year. The division has been growing about 7% per year for the past three years and uses a standard cost system.
During the preliminary review, the auditor notes the following changes in financial data compared to the prior year:
Sales have increased by 10%.
Cost of goods sold has increased by 2%.
Inventory has increased by 15%.
Divisional net income has increased by 8%.
Assume the auditor found that there was a plan to overstate inventory and therefore increase reported profits for the division. If reported correctly, the division would not have shown an increase in net income. The auditor has substantial evidence that the divisional manager was aware of and approved the plan to overstate inventory. There is also some evidence that the manager may have been responsible for the implementation of the plan.
The appropriate audit action would be to
A. Continue to conduct interviews with subordinates until a clear-cut case is made and then report the case to the audit committee.
B. Inform management and the audit committee of the findings and discuss proper follow-up action and/or further investigation with them.
C. Inform the divisional manager of the audit suspicions and obtain the manager's explanation of the findings before pursuing the matter further.
D. Document the case thoroughly and report the suspicions to the external auditor for further review and external reporting.
Answer: B
QUESTION NO: 5
When questions arise on the appropriateness of the going concern assumption made by management and the existence of material misstatements which was not adequately disclosed in the financial statements would lead to auditor's-
A. Qualified opinion
B. Unmodified opinion
C. Disclaimer of opinion
D. Unmodified opinion (but have to include an emphasis of matter paragraph in the auditor's report)
Answer: A
If you want to pass your exam and get the Microsoft MB-820 certification which is crucial for you successfully, I highly recommend that you should choose the Microsoft MB-820 study materials from our company so that you can get a good understanding of the exam that you are going to prepare for. And our ITIL ITIL-DSV exam quiz is a bountiful treasure you cannot miss. There are no additional ads to disturb the user to use the EMC D-GAI-F-01 learning material. EMC D-NWG-DS-00 - If you believe in our products this time, you will enjoy the happiness of success all your life Huawei H19-431_V1.0 - So we have tried our best to develop the three packages for you to choose.
Updated: May 26, 2022