ACC 491 Audit Question 1: Statements on Auditing Standards are non-authoritative statements, enforced through the Code of Professional Conduct. True or False 2: Can differing interests exist between the company preparing the financial statements and the persons using the statements? True or False 3: The serially-numbered pronouncements issued by the ASB (Auditing Standards Board) over a period of years are known as what? 4: What organization is charged with protecting investors and the public by requiring full disclosure of financial information by companies offering securities to the public? 5: What kind of report from a CPA firm would have a summary of findings rather than assurance? 6: Does management and the auditors have the responsibility for the preparation of the financial statements in accordance with the applicable financial reporting framework? True or False 7: The risk associated with a companys survival and profitability is referred to as control risk. True or False 8: In an Independent Auditors Report (non-public), an integral part of managements responsibility in an unmodified (clean) report is the design, implementation and maintenance of internal control. (page 43) True or False 9: Which of the following is not included as a part of the description of the auditor's responsibility in a nonpublic company unmodified report? (a) The audit was performed in accordance with generally accepted accounting principles. (b) An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. (c) The procedures selected depend on the auditor's judgment. (d) An audit includes evaluating the appropriateness of accounting policies used. 10: In an Independent Auditors Report (non-public), an integral part of managements responsibility in an unmodified (clean) report is the design, implementation and maintenance of internal control. (page 43) True or False