2. Which of the following is not true?

A. The example of the application of professional skepticism is to obtain corroboration of management's explanations through consultation with a specialist.

B. The another example of the application of professional skepticism is to assess the authentication of all documents and evidence obtained during an audit engagement.

C. An auditor's responsibilities for audited financial statements are confined to the expression of the auditor's opinion

D. The adoption of sound accounting policies is an implicit part of management's responsibilities.

7. What is the meaning of "Should consider" in SAS ?

A. Performance should be considered.

B. Consideration of performance is required.

C. Performance is required.

D. Consideration is not obligatory.

15. Which factors would an auditor most likely consider when setting the preliminary judgement about the materiality?

A. The dollar amount of asset based on annualized interim financial statements.

B. The type of client's industry

C. Management characteristics obtained from understanding of client's business and industry

D. The number of client's employees

16. An auditor may decide to assess control risk at the maximum level for certain assertions