Miss
This test contains 50 multiple choice questions. Indicate the most appropriate response to each question on your computer marking sheet provided.
1) Which one of the following is not a cause of information risk?
A) complex foreign exchange transactions
B) implementing quality control within the public accounting firm
C) unexpected increased competition within the industry
D) remunerating management with a bonus scheme linked to reported income
2) An internal auditor should ideally report to:
A) the external auditors.
B) the chief finance officer.
C) the audit committee.
D) the ASIC.
3) Which of the following can be regarded as being solely 'compliance' audits?
A) Determining if bank requirements for loan continuation have been met
B) Auditor-General's examinations of the returns of taxpayers
C) An internal auditor's review of his employer's non-current asset purchases
D) Evaluating whether a computerised payroll system is operating effectively
4) Statements of Auditing Standards (ASAs) are issued by:
A) the Institute of Chartered Accountants in Australia.
B) the Australian Securities Exchange.
C) CPA Australia.
D) Australian Auditing and Assurance Standards Board.
5) Assessing that a company's policies effectively ensure the company's compliance with environmental standards and laws is:
A) an example of an assurance service.
B) an example of a business performance measurement service.
C) part of the financial statement audit process.
D) part of the internal auditor's responsibilities.
6) An audit of financial statements is conducted to determine whether the:
A) auditee is following specific procedures or rules set down by a peer group authority.
B) overall financial statements are stated in accordance with specified criteria.
C) organisation is operating efficiently and effectively.
D) none of the above
7) A typical objective of a performance audit is for the auditor to:
A) report on the entity's
1) Which one of the following is not a cause of information risk?
A) complex foreign exchange transactions
B) implementing quality control within the public accounting firm
C) unexpected increased competition within the industry
D) remunerating management with a bonus scheme linked to reported income
2) An internal auditor should ideally report to:
A) the external auditors.
B) the chief finance officer.
C) the audit committee.
D) the ASIC.
3) Which of the following can be regarded as being solely 'compliance' audits?
A) Determining if bank requirements for loan continuation have been met
B) Auditor-General's examinations of the returns of taxpayers
C) An internal auditor's review of his employer's non-current asset purchases
D) Evaluating whether a computerised payroll system is operating effectively
4) Statements of Auditing Standards (ASAs) are issued by:
A) the Institute of Chartered Accountants in Australia.
B) the Australian Securities Exchange.
C) CPA Australia.
D) Australian Auditing and Assurance Standards Board.
5) Assessing that a company's policies effectively ensure the company's compliance with environmental standards and laws is:
A) an example of an assurance service.
B) an example of a business performance measurement service.
C) part of the financial statement audit process.
D) part of the internal auditor's responsibilities.
6) An audit of financial statements is conducted to determine whether the:
A) auditee is following specific procedures or rules set down by a peer group authority.
B) overall financial statements are stated in accordance with specified criteria.
C) organisation is operating efficiently and effectively.
D) none of the above
7) A typical objective of a performance audit is for the auditor to:
A) report on the entity's