16-Question

An error can be described as an intentional misstatement or omission of accounts or disclosures from a company's financial statement.

[True/False]

17-Question

Audit conducted in accordance with the auditing standard are designed to provide absolute assurance to the users that the financial statements do not contain material misstatement or omission.

[True/False]

18-Question

Test of controls and substantive tests are two components of audit tests.

[True/False]

19-Question

Segregation of duties is about segregating authorization of transactions, recording of transactions and custody of the related assets.

[True/False]

20-Question

Non-statistical sampling involves the quantification of the risk of sampling error through the use of mathematics and laws of probability.

[True/False]

21-Question

Sampling risk is the possibility that the auditors will make an erroneous decision based on a sample result.

[True/False]

22-Question

In making a preliminary judgment about materiality, the auditors only need to consider quantitative factors.

[True/False]

23-Question

In planning an audit the auditor is not required to obtain an understanding of his client's accounting and internal control system

[True/False]

24-Question

Current audit working paper files contain documents, schedules and other data that will be continuing significant to several audits.

[True/False]

25-Question

After the completion of the audit work, working paper will be retained by the audit client.

[True/False]