1. What is included in the standard report issued in the audit of a nonpublic entity?
A. Management's responsibility section providing a general description of an audit conducted in accordance with the applicable auditing standards.
B. Introductory paragraph identifying the responsibility of management and auditors in the financial reporting process.
C. Internal control paragraph indicating the effectiveness of the entity's internal control over financial reporting.
D. Opinion paragraph providing the auditors' conclusion as to the fair presentation of the financial statements.
2. What is the main management assertion when getting confirmation of an account payable balance?
A. Existence
B. Completeness
C. Allocation
D. Valuation
3. In what situation is consistency required to be referenced in the audit report?
A. Accounting principles.
B. Accounting estimates.
C. The classification of financial statement amounts.
D. The format of the Statement of Cash Flows.