following words is NOT one of the 'three Es' associated with Value for money reviews? A. Expense B. Economy C. Effectiveness D. Efficiency 11) Which component of audit risk is defined as 'the susceptibility of an assertion about a class of transaction, account balance or disclosure to misstatement that could be material? A Inherent risk B. Control Risk C. Detection Risk D. Audit risk 12) The relati onship between the different components of audit risk can be expressed mathematically as: A. AR IR +CRDR B. AR = IR-CR-DR AR IR x CR x DR 13) Which of the following statements best defines analytical review in an auditing context? A. Independently executing procedures or controls, either manually or through the use of computers Evaluating and comparing financial and/or non-financial data for plausible relationships C. Recalculating arithmetical procedures in the client's records D. Seeking confirmation from another source of details in the client's accounting system 14) Access to a data-processing centre is restricted to authorised personal. A security guard checks staff-passes. This is an example of a: General control B. Manual application control C. Computer -dependent application control D. Management control. 15) Which of the following statements are true in respect of an internal auditors' responsibilities for fraud 1) The internal auditor can help prevent fraud by assessing the adequacy and effectiveness of internal control systems 2) The internal auditor can help detect fraud by being mindful when carrying out his/her work and reporting any suspicions A) 1 only B) 2 only C) Both of them D) Neither of them en deciding on the amount of evidence required to form an opinion on a particular matter, the auditor should be LEAST influenced by the: A Source of the evidence B. Materiality of the balance being examined C. Terms of the engagement Time involved in obtaining the evidence 17) Who should conduct the final review stage in a statutory audit? A Audit Manager B. Audit Junior Audit Partner D. Audit Senior 18) Which of the following statements most fairly reflects the auditors' duty of confidentiality? Auditors must never under any circumstances disclose any matter of which they become aware during the audit, without the permission of the client B. Auditors may disclose matters to third parties without their client's consent if it is in the public interest and they must do if there is a statutory duty to do so C. Auditors have a statutory duty of confidentiality in addition to the Code of Ethics for Professional Accountants D. Auditors may disclose any matters in relation to criminal activities to the police or taxation authorities if requested to do so by the police or a tax inspector. 19) One of the following is NOT an explicit element of an external audit report with an unmodified opinion, according to ISA 700 Forming an opinion and reporting on financial statements A. A statement as to the going concern status of the company B. A statement that the audit was conducted in accordance with International Standards on Auditing A statement of the auditors' opinion as to the truth and fairness of the financial statements D. A statement of managements' and auditors' responsibilities