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AutoSave Documenti Insert Draw Design Layout References Tell me Share Comments X Helvetica N... 12 ' ' Aay po B IU x Avo Paragraph Styles

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AutoSave Documenti Insert Draw Design Layout References Tell me Share Comments X Helvetica N... 12 ' ' Aay po B IU x Avo Paragraph Styles Dictate 1) Which of the following would a successor auditor ask the predecessor auditor after accepting an audit engagement? Group of answer choices Disagreements between the predecessor auditor and managernent as to significant accounting policies and principles. The predecessor auditor's understanding of the reason for the change of auditor. Facts known to the predecessor auditor that might bear on the integrity of management. Matters that may facilitate the evaluation of financial reporting consistency between the current and prior years. 2) Which of the following is an analytical procedure that an auditor most likely would perform when planning an audit? Group of answer choices Scanning payroll files for terminated employees. Confirming a sample of accounts payable. Comparing current year balances to budgeted balances. Recalculating interest expense based on notes payable balance. 3. An auditor is required to obtain an understanding of the entity's business, including cycles and reasons for business fluctuations. What is the audit purpose most directly served by obtaining this understanding? Group of answer choices To follow quality control standards. To enable the auditor to accurately identify significant deficiencies in internal control To identify areas of highest risk in the audit. To decide whether it will be necessary to perform analytical procedures A 24

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