Which Generally Accepted Auditing Standard Is Indicated by Each Independent

question 13

Essay

Which generally accepted auditing standard is indicated by each independent item below? Use each standard exactly one time.1) Charlie, the manager of an audit team, reviewed the work of inexperienced auditors closely.2) Jill refused to accept an audit engagement because her friend was CEO of the company.3) Leigh completed a risk/control matrix as part of an audit.4) Leo prepared a disclaimer of report on an audit client's financial statements.5) Marsha reviewed the background and experience of auditors in her firm as part of developing an audit team.6) Nolan determined that a client's financial statements were fairly presented in accordance with GAAP.7) Patricia noted that footnotes to the financial statements needed some improvement.8) Renee explained a change between the applications of GAAP in two successive years.9) Rich e-mailed an audit client's vendors to help determine the client's accounts payable balances.10) Sally completed a continuing education program on auditing mortgage companies.

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Definitions:

Stock Price

The cost of purchasing a share of a company's stock, representing the market's value of a share of the company's equity.

Days Sales Outstanding

A measure of how long it takes a company to collect payment after a sale has been made, indicating the efficiency of the company's credit and collection policies.

Sales

The activities involved in selling products or services, or the total amount of goods or services sold.

Times-Interest-Earned Ratio

A fiscal indicator that evaluates a firm's capacity to satisfy its debt commitments utilizing its present income.