Discuss AICPA CPA-Auditing Exam Topic 1 Question 1

Which of the following is not an example of the application of professional skepticism?

ADesigning additional auditing procedures to obtain more reliable evidence in support of a particular financial statement assertion.

BObtaining corroboration of management's Explanation: s through consultation with a specialist.

CInquiring of prior year engagement personnel regarding their assessment of management's honesty and integrity.

DUsing third party confirmations to provide support for management's representations.

Suggested Answer: C

Choice "c" is correct. The auditor should consider that fraud might occur regardless of any past experience with the entity. An assessment of management's honesty and integrity performed during the previous year would not necessarily be relevant to the current year's audit.

Choice "a" is incorrect. An auditor might apply professional skepticism by performing additional audit procedures designed to improve the reliability of evidence.

Choice "b" is incorrect. Corroborating management's Explanation: s is an example of the application of professional skepticism, since the auditor is obtaining additional support rather than simply accepting the Explanation: as given.

Choice "d" is incorrect. Using third party confirmations to provide support for management's representations is an example of the application of professional skepticism, since the auditor is obtaining additional support rather than simply accepting the Explanation: as given.

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9 comments · newest first

Serita 11 months ago

I thought all these options were about skepticism, but C feels off.

Gail 12 months ago

A and D are classic examples of skepticism.

Lettie 12 months ago

Wait, is it really okay to ask about management's honesty like that?

Barney 12 months ago

I disagree, C is definitely not professional skepticism.

Amie 1 year ago

Option C seems like a valid application of skepticism.

Elena 1 year ago

Okay, I remember learning that MoV is applicable to both project and non-project environments, so I don't think C is correct. I'm leaning towards B, but I'll double-check my notes just to be sure.

Dorinda 1 year ago

Okay, let's see. Workspace ONE Boxer is for email and calendar, Intelligence is for analytics, and Assist is for virtual assistant. That leaves Access as the component for SSO, so I'll go with that.

Herminia 1 year ago

Okay, let me think this through. The question mentions a hacked version of the developer toolkit used to create applications for Apple's iTunes store. That narrows it down to the main Apple development suite, which I believe is called Xcode. I'll go with that.

Maricela 1 year ago

This is a classic DNS question. The answer is clearly "D. host". That's the standard command to look up the IP address for a given domain name. Easy peasy!

AICPA CPA-Auditing Exam - Topic 1 Question 1 Discussion