1.Under GAAS,:
- the auditor can amend the language of the ICFR audit report.
- the auditor can issue an adverse opinion on the ICFR without withdrawing from the engagement.
- the auditor cannot issue an adverse opinion on ICFR without citing scope limitation.
- the auditor can issue an adverse opinion on the ICFR only if (s)he issues a qualified opinion on the financial statements.
2.Dillon is auditing Byrne Corp., a public company. Byrne recently implemented a new accounting system. As part of the ICFR audit, Dillon discovers that material controls surrounding access to the new software were only partially installed. Dillon should:
- withdraw from the audit.
- issue a disclaimer opinion on the ICFR.
- issue an adverse opinion on the ICFR.
- depending on the circumstances, the auditor may choose any of the above.
3.Time worked not accepted by the payroll application program because the employee is not in the payroll master file is an example of which assertion(s)?
- Completeness and existence.
- Existence.
- Authorization and existence.
- None of the above.
4.The payroll master file serves which purpose?
- It is a repository of all employees currently employed and recently discharged.
- It lists key employee data such as pay rate and deduction information.
- It lists the year-to-date earnings information for each employee.
- All of the above.