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Which type of misstatements are considered relevant fro audit purpose?
Suggested Answer: C
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18 comments · newest first
DE
Desmond
10 months ago
I thought only fraudulent reporting was a big deal.
CO
Corinne
11 months ago
Misstatements from fraud and asset theft are crucial for audits.
GE
Georgiana
11 months ago
Wait, are both really relevant? Seems like a stretch.
JE
Jessenia
11 months ago
I agree, both types matter for audits.
MA
Macy
11 months ago
Definitely both A and B!
AL
Alpha
12 months ago
I believe the answer is C, since both types of misstatements can lead to serious consequences in an audit.
SI
Simona
12 months ago
I feel like I might be mixing up the definitions. Are both A and B really relevant, or is it just one of them?
AL
Albina
12 months ago
I think we practiced a question similar to this, and I recall that both fraudulent reporting and asset misappropriation are critical for auditors to consider.
RE
Reita
1 year ago
I remember discussing how both types of misstatements can significantly impact the financial statements, but I'm not sure if one is more relevant than the other.
GO
Goldie
1 year ago
I'm a bit unsure about this one. I know auditors need to look for both intentional and unintentional misstatements, but I'm not sure if the question is asking about all types of misstatements or just the "relevant" ones. I'll have to review my notes and think this through carefully.
RY
Ryan
1 year ago
This question is testing our understanding of the audit objectives and the types of misstatements that are of concern. I believe the correct answer is C, as both fraudulent financial reporting and misappropriation of assets are relevant for audit purposes.
AL
Aliza
1 year ago
The key here is understanding the definition of "relevant" in the audit context. Misstatements from both fraudulent reporting and asset misappropriation would be considered relevant, as they could materially impact the financial statements. I'll select option C to cover both scenarios.
MA
Malika
1 year ago
Hmm, I'm not entirely sure about this one. I know auditors need to consider both fraudulent financial reporting and misappropriation of assets, but I'm not sure if both are considered "relevant" for audit purposes. I'll have to think this through carefully.
SH
Shasta
1 year ago
This is a straightforward question on the types of misstatements relevant for audit purposes. I'm confident I can answer this correctly.
AN
Anika
1 year ago
Hmm, I'm a bit unsure about this one. I'm not sure if the new bank loan or the expected loss on the land disposal should be included or not. I'll need to think this through carefully.
TA
Tamie
1 year ago
Hmm, I'm a bit unsure about this one. Is the output something related to verifying the deliverables or the project scope? I'll need to think through the process described and consider what the logical output would be.
KI
King
1 year ago
I've got this! The current ratio and inventory turnover in days are classic liquidity metrics. Throw in accounts receivable turnover and you've got a solid set of measures to evaluate the organization's liquidity position.
YA
Yasuko
1 year ago
Ah, I think I know the answer to this one! If I remember correctly, the dampening period setting is different for YANG-push and OpenConfig. I'm pretty confident I can get this right.