Answer: 8.8 Which of the following would not require the auditor to increase the level of control testing for (c) responsible party, users, subject matter, criteria. (a) The type of control Detection risk (The risk that the auditor's testing procedures will not be effective in detecting a (b) The WCGW addressed by the control is very important. Q. (d) A low degree of reliance is to be placed on the control to limit the amount of substantive, Copyright © 2020 StudeerSnel B.V., Keizersgracht 424, 1016 GC Amsterdam, KVK: 56829787, BTW: NL852321363B01, Upgrade to Premium to read the full document, Or upload a document to get free Premium access, Bail hearing - Bail application example from 2018. Next Page Previous Page Software quality Assurance MCQ's 1. (c) both (a) and (b). Q. (d) to eliminate audit risk and make the audit report more timely. Quality assurance (QA) is any systematic process used to determine if a product or service meets quality standards. Answer: 8.4 Detect controls do not include: (b) form an opinion on the independence of the directors. (Risk assessment. Q. Quality assurance is one facet of quality control, alongside proper planning and implementation. (d) all of the above (b) are caused by auditors choosing incorrect audit procedures. (b) are routine transactions that do not affect audit risk. also gain an understanding of the importance in determining an appropriate audit strategy. being observed. A. an observed condition that provides evidence that the control being tested did not operate as Answer: A, 7.4 The difference between statistical and non-statistical sampling is that: Which of the following statements about materially is incorrect? factory floor to count and trace to the client’s stock sheet, the auditor will be obtaining evidence (d) are relevant only when they occur consistently throughout the accounting period. (b) the auditor has conducted sufficient work to conclude that the appropriate outcome is an These short objective type questions with answers are very important for Board exams as well as competitive exams. Answer: D. 5.2 The quantity of evidence that an auditor will gather: Answer: D. 7.9 Tolerable (acceptable) error: Quality Assurance and Statistical Process Control: McDonalds just from $13,9 / page. Planning an audit of a financial report requires that an auditor plan their audit to reduce audit a particular control? The standards include criteria for personnel, facilities, packaging, quality control, and, in most cases, stability testing. (b) is inverse. placed on how to gain an understanding of a client and we will also explore strategies and processes 1 ___________ guarantees that only one person at a time is in the process of … Best Manual Testing Multiple choice Questions and Answers. (b) allow the auditor to demonstrate how well they are performing. (a) if there are mitigating circumstances. (b) does not have the risk of management override. Do give it a try, and be sure to check out other quizzes like it to add on your knowledge. It is based on the calculus of probability and on mathematical statistics. (c) designed and implemented to address identified business risks that threaten the achievement of some depth. When a manager monitors the work performance of workers in his department to determine if the quality of their work is 'up to standard', this manager is engaging in which function? Which of the following statements is correct about audit risk? (c) financial risk. (d) those charged with governance and management. This Quality Assurance (QA) interview question helps you pick off the candidates that tend to exaggerate the importance or use of Automated Testing. placed on how to evaluate audit risk and we will explore strategies for use of analytical procedures When is an analysis under statistical control? Answer: B, 3.7 The auditor must consider whether it is appropriate to assume that the client will remain as a (d) occurs when different people authorise transactions, record transactions and maintain custody (a) risk identification during the risk assessment stage. (a) the client operates in a stable industry. expected rate, the effects on the auditor’s (i) assessment of detection risk and (ii) reliance on Relevant audit assertions (declarations) and persuasiveness of audit evidence are Answer: C, 1.7 Those charged with governance have a responsibility to ensure that information in financial upon actions to manage them.). law. (a) detect misstatements in the financial report. (c) usually do not include financial data only. (d) means that the auditor will gain the minimum necessary knowledge of the client’s system of A quality strategy is necessary to provide the goals and guidelines to keep a TQM programme heading in the right direction. (b) requires the auditor to conduct extensive control testing. They can also be used in … (d) designed to provide reasonable assurance about the achievement of the entity’s objectives with Q. to sampling risk. Instructions. (c) are concerned with the economy, efficiency, and effectiveness of an organisation’s activities. It comprises of 25 questions on Software Engineering. Control risk (The risk that a client's system of internal controls will not prevent or detect a material Q. (b) does not occur if an auditor relies on unreliable evidence. (The level of unionisation among the workforce, how well a client pays its (a) accuracy assertion, because the document will show the purchase amounts. Does not relate to other work on leadership and motivation. Question bank and quiz comprising samples, … Answer: D, 1.8 Agency theory explains that audits are demanded because conflicts can arise between: Exam in mathematical statistics, Statistical Quality Control (MVE-145/MSG-600) Tuesday 2007-12-18, 8.30-12.30 Examiner: Serik Sagitov A. the professional requirement that all management representations be substantiated with What do you call the understanding of a dominant culture before choosing a suitable control system? Answer: D, 6.8 Internal control in small entities: (b) if the industry is the same as another industry. (a) users, responsible party, subject matter. (b) gathers evidence about the balances of the main accounts. (b) Auditors will be interested in trends in profitability ratios. (c) does not have to have any prior knowledge of the client’s inherent risks and how the controls surveying customers to find out their opinions about product quality. Quality assurance managers review statistical data from the production lines to identify quality problems. Answer: A, 6.7 Segregation of incompatible duties: We check that students get the higher education they are entitled to expect. (a) after testing internal controls. Answer: 8.5 ITGCs are important because they: The strategy would normally comprise such aspects as: The competitive priorities of the organisation and how the TQM programme is expected to contribute, the roles and responsibilities, the resources available and the philosophy towards quality. Emphasis will be placed on understanding the purpose or objectives of Internal control. site. (c) performance indicators. accounts. Quality Assurance assures the quality of the product meaning that this process ensures that the product generated from the process is defect-free and conforms to all stated customer requirements. 1.1 The parties relevant to an assurance engagement are: A. A. (b) only if the client is listed on a stock exchange. Overview: The focus is on assurance engagements, in particular the nature and purpose of a financial (a) the users cannot rely on the financial report. a) Hardware b) Programmers c)Software d) None of the mentioned 2. to test? Q. (c) is irrelevant. All of the above. Timely. (d) the auditor does not have to take responsibility for the fair statement of the item in the financial Which of the following is not an assertion used for the transactions and events? Statistical Quality Control (SQC): SQC is a statistical technique used to monitor quality of the products (goods or services). Answer: 8.7 Inspection of physical evidence is a control test used by auditors. (b) has no relationship with the activities of the board of directors. population is not used for the test. directly to the client. (d) all of the above. Quality 101 is a course which is to acquaint the student with the basic concepts, terminology and tools which is used to ensure quality assurance of the product. (d) is the risk that an auditor arrives at an inappropriate conclusion for a reason unrelated to (a) the auditor has conducted an audit and provides an opinion that the financial reports are true policies, procedures, laws or regulations with which they must conform. Six sigma is a quality assurance methodology used widely in statistics to provide ways to improve processes and functionality when working with data. Session 5. standards are at the level that satisfy users’ demands. A. the client of the auditor's recommendations for improving its internal controls. (d) if the client is as competitive and has as high a turnover as the industry average. (c) ensuring that the financial report is prepared in accordance with accounting standards and the the entity’s objectives. Learning (d) The level of assurance the auditor wishes to gain Answer: A, 3.4 The ASX Corporate Governance Council’s Corporate governance principles and (d) none of the above (d) listed companies are able to be more effective and efficient than private companies. This Software Engineering online test is useful for beginners, freshers, experienced candidates, lecturers, developers preparing for GATE, job interview, university exams, certification etc. Strong emphasis on the role of both the internal and the external customer. (b) validations. Statistical methods in quality improvement are defined as the use of collected data and quality standards to find new ways to improve products and services. with a view to understanding how we can attempt to reduce this gap in practice. To do so, quality assurance involves the management of the quality of raw materials, assemblies, products and components; services related to production; and the management, production and inspection process. Quality Assurance (QA) is about identifying, anticipating and avoiding the problems that can arise from our data inputs or the methods and processes we use to calculate statistics. Answer: D, 7.6 If preliminary testing of controls reveals that the rate of deviation in controls is above the Hence, the lack of quality assurance processes, such as statistical item analysis or item evaluation, raises doubt as to the validity and legitimacy of scores, grades, and ultimately certificates and degrees. (b) are not relevant to internal controls. The ISO 9000 quality system does NOT include: ... Strong emphasis on statistical and quantitative methods. (a) can only be performed on annual data. 1. (a) only if they are not purely manual systems. (d) are only applicable to the chief executive officer in an organisation. This activity contains 20 questions. Causation can always be tested using A/B testing or hypothesis testing. 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