M3

Question 1

another name for audit documentation is

Answer 1

Working papers

Question 2

Does the auditor’s workpapers support the client’s F/S?

Answer 2

No the workpapers support the auditor’s opinion

Question 3

What are the requirements of audit documentation

Answer 3

Assist the engagement team in planning, and conducting the audit
show actg records and disclosures reconcile
Be prepared in enough detail so that an experience auditor who has no previous connection can understand
1. Nature extent and timing of audit procedures, 2 results, significant findings

Question 4

When is the report release date

Answer 4

the date on which the auditor grants the client permission to use the report

Question 5

Document retention

Answer 5

nonissuers at least 5 years from report release date
issuers at least 7 years from report release date

Question 6

Documentation completion date (date at which documentation must not be deleted, and additions must be documented

Answer 6

nonissuers 600 days from report release date
issuers 14 days from report release date

Question 7

Give examples of permanent or continuous files

Answer 7

pension plans, multi year contracts, stock options, bylaws, bond indentures, articles of incorporation, meeting minutes,

Question 8

Examples of current file items

Answer 8

Audit plan, report
Financial statements and trial balances
mgmt rep letter
1 year or less contracts
significant findings

Question 9

Footed

Answer 9

verification of calculation in a column

Question 10

Cross footed

Answer 10

Verification of a calculation in a row

Question 11

Is permission required to contact clients bank or attorney?

Answer 11

Yes