Acct 431 Introduction To Accounting Systems Exam 1

This study source was downloaded by 100000857300661 from CourseHero.com on 11-24-2022 02:36:06 GMT -06:00https://www.coursehero.com/file/89207187/Exam-1docx/ 1Auditing ACCT 431 - Spring 2021 - Test 136 questions each worth point for a total of 18 pointsLily Zhang ________________________________ Name1. The basic purpose of a financial statement audit is to A. Decrease the information asymmetry between the preparers of the financial reporting and the users of the financial reporting.B. Mitigate the conflict of interest created by the fact that the financial reporting is used to evaluate the management and management prepares the financial statements.C. Decrease the information risk of the users of the financial reporting.D. All the above.E. None of the above2. Which of the following is a correct statement?A. Assurance is a subset of auditing.B. Attestation is a subset of auditing.C. Assurance is a subset of attestationD. Auditing is a subset of attestation. 3. The three sections of the audit report on public companies are theExternal Auditors, Internal Auditors and Government Auditors .4. The first phase of an audit of financial statements isa) Plan the auditb) Consider internal controlc) Client acceptance / continuance processd) Issue an audit report5. Independent auditors are also known asa) Internal auditorsb) External auditorsc) Government auditorsd) Forensic auditors6. If