Audit Reports
Which one of the items below deals with the auditor’s responsibility to form an opinion on the financial statements?
The correct choice is B. It also deals with the form and content of the auditor’s report issued as a result of an audit of financial statements.
Which one of the items below deals with the auditor’s responsibility to communicate key audit matters in the auditor’s report?
The correct choice is A. ISA 701 deals with the auditor’s responsibility to communicate key audit matters in the auditor’s report.
Which of the two items below deal with how the form and content of the auditor’s report are affected when the auditor expresses a modified opinion or includes an Emphasis of Matter paragraph or an Other Matter paragraph in the auditor’s report?
The correct choice is D. Other ISAs also contain reporting requirements that are applicable when issuing an auditor’s report.
What forms an opinion on the financial statements based on an evaluation of the conclusions drawn from the audit evidence obtained?
The correct choice is C. The term ISA is used to state International Standard on Auditing
Which one of the items below form an opinion on the financial statements, to conclude as to whether reasonable assurance has been obtained about whether the financial statements as a whole are free from material misstatement?
The correct choice is B. International Standard on Auditing (ISA) 700 (Revised), Forming an Opinion and Reporting on Financial Statements.
Which one of the items below defines a misstatement as a difference between the amount, classification, presentation, or disclosure of a reported financial statement item and the amount, classification, presentation, or disclosure that is required for the item to be in accordance with the applicable financial reporting framework?
The correct choice is C. This conclusion takes into account the auditor’s evaluation of uncorrected misstatements, if any, on the financial statements in accordance with ISA 450.
Which one of the statements below shows correctly how the applicable financial reporting framework should appear for the auditor?
The correct choice is E. The information presented in the financial statements is relevant, reliable, comparable, and understandable.
Which one of the statements below shows correctly how the applicable financial reporting framework should appear for the auditor?
The correct choice is D. The terminology used in the financial statements, including the title of each financial statement, is appropriate.
What kind of an opinion does the auditor express when the auditor, having obtained sufficient appropriate audit evidence, concludes that misstatements, individually or in the aggregate, are material, but not pervasive, to the financial statements?
The correct choice is A. When the auditor expresses a qualified opinion due to a material misstatement in the financial statements, the auditor shall state that, in the auditor’s opinion.
What kind of an opinion does the auditor express when reporting in accordance with a fair presentation framework, the accompanying financial statements do not present fairly or give a true and fair view of in accordance with the applicable financial reporting framework?
The correct choice is E. When the auditor expresses an adverse opinion, the auditor shall state that, in the auditor’s opinion.
What kind of an opinion does the auditor express when the auditor is unable to obtain sufficient appropriate audit evidence on which to base the opinion, and the auditor concludes that the possible effects on the financial statements of undetected misstatements, if any, could be both material and pervasive?
The correct answer is C. The auditor shall disclaim an opinion when, in extremely rare circumstances involving multiple uncertainties.
Which one of the items below requires the auditor, in order to form an opinion on the financial statements, to conclude as to whether reasonable assurance has been obtained about whether the financial statements as a whole are free from material misstatement?
The correct answer is B. The objectives of the auditor are stated in ISA 700 (The Independent Audit Standards issued in accordance with ISAs in Turkey are stated as BDS in Turkish abbreviation.
In which circumstances do the material misstatements of the financial statements arise?
The correct answer is D. Where the entity has changed its selection of significant accounting policies, a material misstatement of the financial statements may arise when the entity has not complied with these requirements.
In which circumstances do the material misstatements of the financial statements arise?
The correct choice is B. In relation to the appropriateness or adequacy of disclosures in the financial statements, material misstatements of the financial statements may arise when the financial statements don’t include all of the disclosures required by the applicable financial reporting framework.
When does the auditor’s inability to obtain sufficient appropriate audit evidence (also referred to as a limitation on the scope of the audit) may arise?
The correct answer is C. The auditor’s inability to obtain sufficient appropriate audit evidence (also referred to as a limitation on the scope of the audit) may arise from circumstances beyond the control of the entity.
What should the auditor include if there is a material misstatement of the financial statements that relates to specific amounts in the financial statements?
The correct answer is D. The auditor shall include in the Basis for Opinion section a description and quantification of the financial effects of the misstatement, unless impracticable.
It is described as unintentional misstatements or omissions of amounts or disclosures in financial statements. Which one of the items below indicates the description?
The correct answer is E. The auditor has a responsibility to plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether caused by error.
It is is described as intentional misstatements or omissions of amounts or disclosures in financial statements. Which one of the items below indicates the description?
The correct answer is C. the auditor has a responsibility to plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether caused by fraud.
With which one of the ISA’s do the areas of higher assessed risk of material misstatement, or significant risks are identified?
The correct answer is B. Areas of higher assessed risk of material misstatement, or significant risks identified in accordance with ISA 315.
What is the consideration of the qualitative aspects of the entity’s accounting practices, including indicators of possible bias in management’s judgments?
The correct answer is D. The auditor shall evaluate whether the financial statements are prepared, in all material respects, in accordance with the requirements of the applicable financial reporting framework.