CA Inter Audit Lec 59 & 60

220.2

SA 220 sets out the responsibilities with respect to relevant ethical requirements

• a) firm’s

• b) Senior Audit Assistant

• c) engagement partner’s

• d) All the above

220.4

The purpose of monitoring compliance with quality control policies and procedures is to provide an evaluation of:

• a) Adherence to professional standards and regulatory and legal requirements;

• b) Whether the quality control system has been appropriately designed and effectively implemented; and

• c) Whether the firm’s quality control policies and procedures have been appropriately applied, so that reports that are issued by the firm or engagement partners are appropriate in the circumstances.

• d) All of the above

220.9

In relation to completed engagements, procedures designed to provide evidence of compliance by

engagement teams with the firm’s quality control policies and procedures is known as :

• a) Monitoring

• b) Inspection

• c) Subsequent Audit procedures

• d) Compliance procedures

CIA.12

………….. is the threat which occurs when the auditor promotes, or is perceived to promote, a client’s opinion to a point where people may believe that objectivity is getting compromised

• a) Familiarity threat

• b) Advocacy threat

• c) Self Review threat

• d) Intimidation threat

CIA.5

Loan or guarantee to or from the concerned client is an example of

• a) Self-review threats

• b) Self-interest threats

• c) Advocacy threats

• d) Intimidation threats

CIA.6

Direct financial interest or materially significant indirect financial interest in a client is an example of

• a) Self-review threats

• b) Self-interest threats

• c) Advocacy threats

• d) Intimidation threats

CIA.7

When an auditor deals with shares or securities of the audited company is an example of:

• a) Self-review threats

• b) Self-interest threats

• c) Advocacy threats

• d) Intimidation threats

CIA.2

______  are self-evident and occur when auditors form relationships with the client where they end up being too sympathetic to the client’s interests.

• a) Familiarity threats

• b) Self-interest threats

• c) Advocacy threats

• d) Intimidation threats

CIA.11

………….. is the threat which occurs when auditors are deterred from acting objectively with an adequate degree of professional skepticism.

• a)  Familiarity threat

• b) Advocacy threat

• c) Self Review threat

• d) Intimidation threat

CIA.1

______ along with other disciplines such as accounting and law, equips you with all the knowledge that is required to enter into auditing as a profession.

• a) Auditing

• b) Taxation

• c) Finance

• d) Taxation and Finance both