After Fieldwork Audit Procedures Are Completed for a Public Company

question 75

Multiple Choice

After fieldwork audit procedures are completed for a public company and private company whose financial statements are expected to be widely distributed, a partner of the CPA firm who has not been involved in the audit performs an engagement quality review of the working papers. This review focuses on:

• A)an evaluation of the significant judgments made by the engagement teams and the conclusions reached in formulating the audit report.
• B)irregularities involving the entity's management and its employees.
• C)the materiality of the adjusting entries proposed by the audit staff.
• D)the communication of internal control weaknesses to those charged with governance.

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Definitions:

M-Pesa

A mobile phone-based money transfer, financing, and microfinancing service, launched in 2007 by Vodafone for Safaricom and Vodacom, primarily in Africa.

Phone-Based Money Transfer

A service that allows individuals to send and receive money using mobile phone applications or text messages.

Companies

Legal entities formed by a group of individuals to engage in and operate a business enterprise, commonly aimed at profit.

Universities

Institutions of higher education and research, which grant academic degrees in various disciplines.