Describe auditing principles and procedures

Describe auditing principles and procedures

Q1. Identify 4 of the 6 tests an auditor uses on the bank reconciliation

Q2. What is the difference between a contingent liability and a commitment?

Q3. For each of the following situations, indicate what type of audit report is most appropriate:
a. The auditor lacks independence in fact, but not necessarily in appearance.
b. There is a scope limitation and it is material but the overall financial statements are still presented fairly.
c. The uncorrected misstatements are immaterial.
d. There is a departure from GAAP and it is pervasively material.

Q4. Distinguish between the following theories of ethical behavior: a rights-based approach, and a justice-based approach