1. 213 Which of the following is LEAST likely to be considered a "covered member for the purpose of this year auditing of ABC Inc. by the Miami branch of a national CPA firm? a. A partner of the Miami office who only worked on audits of past years of ABC Inc. , but currently has no responsibilities with this year's audit. b. A partner of the Chicago office branch of the CPA firm but who has a small, immateri Inc A partner in the Boston office branch of the CPA firm who holds onl A partner in charge of the Entire CPA firm. y 8% of the client's outstanding equity c. d. 2. 213 Which of the following family relations is MOST UKELY to impair an Auditor's independence with a particular dlient on which the auditor works as a "covered member'? a. A cousin who has an immaterial investment in the cdlient of which the auditor is aware. b. A cousin who has a material investment in the dlient of which the auditor is not aware. c. The auditor's spouse participating in a 401(K) retirement plan sponsored by the client. d. The auditor's cousin is comptroller of the client. a. 5 An analytical procedure that inwolves comparing financial statement amounts, for a period, as a percentage of some financial base such as net sales: a. Comparison analysis. b. Cross-sectional analysis. c. Horizontal analysis. d. Vertical analysis 4. 5 Analytical procedures are best defined as: Computational tests of assertions only to be performed near the completion of an audit. Analytical procedures are tests of controls-they are only used to evaluate the quality of an entity's internal control and for risk-assessment. Analytical procedures are used in Risk Assessment; as substantive procedures for specific accounts, and at near the completion of the audit of financial statements Analytical procedures are used for planning, but not for obtaining evidence as to the reasonableness of assertions. a. b. c. d