Indicate whether the following functions would be

20. Indicate whether the following functions would be performed by:
P- Partner S- Senior
M- Manager AS- Audit Assistant
(1) Supervises two or more concurrent audit engagements
(2) Performs detailed audit procedures
(3) Overall responsibility for audit
(4) Signs audit report
a. M S M P
b. M AS P P
c. P AS S M
d. P AS S M
21. The decision as to whether the criteria are suitable involves considering whether the
subject matter is capable of reasonably consistent evaluation against or measurement
using such criteria. The characteristics for determining whether criteria are suitable
include the following, except
22. To operate effectively, an internal auditor must be independent of 23. The auditor obtains knowledge of client’s business
I. Prior to acceptance of engagement
II. Planning stage of the audit
III. Testing of transactions stage
24. An operational audit is designed to
a. Assess the presentation of management’s financial statements in accordance with
generally accepted accounting principles

b. Determine whether the audit committee of the board of directors is effectively
discharging its responsibility to oversee management’s operations
c. Assess the efficiency and effectiveness of management’s operating procedures
d. Determine whether management has complied with applicable laws and regulations
25. Internal auditors cannot be independent
26. It refers to the level of auditor’s satisfaction as to the reliability of an assertion being
made by one party for use by another party.
27. To provide for the greatest degree of independence in performing internal auditing
functions, an internal auditor most likely should report to
28. Which of the following is not considered by the CPA when he makes an overall audit
plan?
a. The content of the representation letters.
b. The nature and timing of reports or other communication with the entity that are
expected under the engagement.
c. Identification of complex accounting areas including those involving accounting
estimates.
d. The information technology used by the client.