You must be very surprised. However, you must believe that this is true! You can ask anyone who has used AA Learning Materials actual exam. And we will give you 100% success guaranteed on the AA Learning Materials training guide. Our AA Learning Materials exam quiz is unlike other exam materials that are available on the market, our AA Learning Materials study dumps specially proposed different versions to allow you to learn not only on paper, but also to use mobile phones to learn. In short, you will find the convenience and practicality of our AA Learning Materials quiz guide in the process of learning.
But our AA Learning Materials exam questions have made it.
If the user finds anything unclear in the AA - Audit & Insurance Learning Materials exam questions exam, we will send email to fix it, and our team will answer all of your questions related to the AA - Audit & Insurance Learning Materials actual exam. Every page is carefully arranged by our experts with clear layout and helpful knowledge to remember. Our AA Valid Vce Test Simulator exam questions just focus on what is important and help you achieve your goal.
Among all substantial practice materials with similar themes, our AA Learning Materials practice materials win a majority of credibility for promising customers who are willing to make progress in this line. With excellent quality at attractive price, our AA Learning Materials exam questions get high demand of orders in this fierce market. You can just look at the data about the hot hit on the AA Learning Materials study braindumps everyday, and you will know that how popular our AA Learning Materials learning guide is.
Our CPA AA Learning Materials study materials are designed carefully.
We offer 24 - hour, 365 – day online customer service to every user on our AA Learning Materials study materials. Our service staff will help you solve the problem about the AA Learning Materials training materials with the most professional knowledge and enthusiasm. We believe that can completely dispel your worries on AA Learning Materials exam braindumps. So please feel free to contact us if you have any trouble on our AA Learning Materials practice questions.
The immediate downloading feature of our AA Learning Materials study materials is an eminent advantage of our products. Once the pay is done, our customers will receive an e-mail from our company.
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
First of all, if you are not sure about the IBM C1000-138 exam, the online service will find the most accurate and all-sided information for you, so that you can know what is going on about all about the exam and make your decision to buy IBM C1000-138 study guide or not. Omgzlook's experienced IT experts through their extensive experience and professional IT expertise have come up with IT certification exam study materials to help people pass CPA Certification IBM C1000-127 exam successfully. After the clients use our SAP C_S4EWM_2023 prep guide dump if they can’t pass the test smoothly they can contact us to require us to refund them in full and if only they provide the failure proof we will refund them at once. Omgzlook can provide you with a reliable and comprehensive solution to pass CPA certification Fortinet NSE7_SDW-7.2 exam. Our experts team includes the experts who develop and research the CompTIA SY0-701 cram materials for many years and enjoy the great fame among the industry, the senior lecturers who boost plenty of experiences in the information about the exam and published authors who have done a deep research of the CompTIA SY0-701 latest exam file and whose articles are highly authorized.
Updated: May 26, 2022