Our system will automatically send you the updated version of the AA Dumps Pdf preparation quiz via email. If you do not receive our email, you can directly send an email to ask us for the new version of the AA Dumps Pdf study materials. We will soon solve your problems at the first time. Maybe you always thought study was too boring for you. Our AA Dumps Pdf study materials will change your mind. Our company can promise that the AA Dumps Pdf study materials from our company are best among global market.
Certified Public Accountant AA Your life will be even more exciting.
Finally, the transfer can be based on the AA - Audit & Insurance Dumps Pdf valid practice questions report to develop a learning plan that meets your requirements. The price of our AA Exam Training learning guide is among the range which you can afford and after you use our AA Exam Training study materials you will certainly feel that the value of the AA Exam Training exam questions far exceed the amount of the money you pay for the pass rate of our practice quiz is 98% to 100% which is unmarched in the market. Choosing our AA Exam Training study guide equals choosing the success and the perfect service.
In the process of using the Audit & Insurance study training dumps, once users have any questions about our study materials, the user can directly by E-mail us, our products have a dedicated customer service staff to answer for the user, they are 24 hours service for you, we are very welcome to contact us by E-mail and put forward valuable opinion for us. Our AA Dumps Pdf latest questions already have many different kinds of learning materials, users may be confused about the choice, what is the most suitable AA Dumps Pdf test guide? Believe that users will get the most satisfactory answer after consultation. Our online service staff is professionally trained, and users' needs about AA Dumps Pdf test guide can be clearly understood by them.
But our CPA AA Dumps Pdf exam questions have made it.
By browsing this website, all there versions of AA Dumps Pdf training materials can be chosen according to your taste or preference. In addition, we provide free updates to users for one year long after your purchase. If the user finds anything unclear in the AA Dumps Pdf exam questions exam, we will send email to fix it, and our team will answer all of your questions related to the AA Dumps Pdf actual exam. So as long as you have any question, just contact us!
Every page is carefully arranged by our experts with clear layout and helpful knowledge to remember. Our AA Dumps Pdf exam questions just focus on what is important and help you achieve your goal.
AA PDF DEMO:
QUESTION NO: 1
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: 2
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: 3
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: 4
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: 5
Internal auditors and management have become increasingly concerned about computer fraud.
Which of the following control procedures would be least important in preventing computer fraud?
A. Programme change control that requires a distinction between production programmes and test programmes.
B. Testing of new applications by users during the systems development process.
C. Segregation of duties between the applications programmer and the programme librarian function.
D. Segregation of duties between the programmer and systems analyst.
Answer: D
You can just look at the data about the hot hit on the SAP C-LIXEA-2404 study braindumps everyday, and you will know that how popular our SAP C-LIXEA-2404 learning guide is. So our Network Appliance NS0-701practice materials have great brand awareness in the market. The promotion or acceptance of our SAP C_THR89_2405 exam questions will be easy. Our Genesys GCX-SCR study questions have simplified the complicated notions and add the instances, the stimulation and the diagrams to explain any hard-to-explain contents. The services provided by our IBM C1000-137 test questions are quite specific and comprehensive.
Updated: May 26, 2022