Cdfm 3-4

Front 1

Auditing is an essential element of what?

Back 1

public accountability and control by lending credibility to information reported by others by providing objective information about the performance of gov't programs..(3.4.5)

Front 2

What is an audit?

Back 2

A comprehensive assessment and report on the finiancial condition and the results of performance of a government entity. (3.4.5)

Front 3

Who issues audits requirments?

Back 3

Congress, GAO, OMB, and the President's Council on Integrity and Efficiency (3.4.5)

Front 4

What is the Government Auditng Standards that are issue by GAO referred to?

Back 4

Generally Accepted Government Auditing Standards (GAGAS) (3.4.6)

Front 5

What is another name for the Generally Accepted Government Auditing Standards (GAGAS)?

Back 5

Yellow Book. (3.4.6)

Front 6

The GAGAS must be followed by who?

Back 6

The U.S GAO, Federal Office of IGs, other federal auditors, military internal review groups,and non-federal auditors.

Front 7

The standards that are issue by GAO discuss what?

Back 7

type of work as defined by their objectives-as financial or performance audits, attestation engagements, on non-audit services.

Front 8

The intent of the added chapter in the yellow book that addresses ethical principles are?

Back 8

Management of audit organization to set a tone for ethical behavior by maintaing an ethical culture, communicating acceptable behavior and expectations, and creatinging an environment to reinforce and encourage ethical behavior.

Front 9

What are the five priciples in the yellow book?

Back 9

1.public interest 2. integrity, 3.objectivity 4.proper use of gov't information and resources, 5. professional behaivor. 3.4.6

Front 10

Auditors organizatio and individuals auditors shoul follow these standards?

Back 10

personal/external impairments to independence 2. be organizationally independent 3. Maintain independent attitude and appearance

Front 11

When an immediate family member is a director of officer of the audited entity this is an example of?

Back 11

Personal impairments 3.4.7

Front 12

When an auditee interfers with the selection or application of audit procedures or in the selection of transaction to be examined is an example of?

Back 12

External impairments 3.4.7

Front 13

Auditors Professional Judgement should include?

Back 13

1. exercise care and diligence
2. maintain integrity and objectivity
3. carefully select the methodoly and procedures for gathering information 3.4.8

Front 14

Standards that are apart of auditor's competence includes:

Back 14

80 hours continuing education every 2 years with a minimum of 20 hours being completed in any one year of the two year period.
2. Staff section collectively must must possess adequate profession competency for the task required. 3.4.9

Front 15

Two components of quality control and assurance are?

Back 15

1.policies and procedures to collectively address such matters on leadership, independence, human esources, and monitoring functions through internal controls, oversight and reviews.
2. external peer reviews ever 3 years

Front 16

The Army Audit Agency maybe reviewed by the Navy Audit Agency is an example of ?

Back 16

External Peer Reviews 3.4.10

Front 17

What are the three field work standards from the American Institute of Certified Public Accountants found in the Yellow Book for financial audits?

Back 17

Planning, consideration of IC, and the need for evidence to support the auditor's opinion.

Front 18

What are the four performance audits for field work standards?

Back 18

evidence; supervising staff; consideration of internal control; and audit documentation

Front 19

What are the three types of audits?

Back 19

Financial
Performance
Attestation

Front 20

What are the GAO Internal Control Standards?

Back 20

CRIME
Control activities
Risk assessment
Information and communications
Monitoring
Environment

Front 21

The DOD IG

Back 21

Provides leadership; conducts supervises, monitors, initiates audits and investigation; reccommends policies for economy, efficiency and effectiveness

Front 22

Who provides guidance on quality control for DOD auditns through the establishment of a quality control program?

Back 22

GAGAS

Front 23

What are the 4 audits groups within DOD?

Back 23

Office of Assistant IG for Auditing; Army , Navy, and Airforce

Front 24

To ensure independence who should audit organization report to?

Back 24

Under Secretary fo the DOD componenent

Front 25

Beside DOD audit organizations, audits can be performed by?

Back 25

GAO

Front 26

Each DOD internal audit organization ensures?

Back 26

Plans are established to carry out its responsibilities, including strategic planning requirements
established by the Government Performance and Results Act
2. Fraud, waste and abuse avoided

Front 27

When can DoD contract for non-Federal auditors to perform audit services on DoD projects or entities ?

Back 27

The expertise required to perform the audit is not available within the DoD audit organization, or
Temporary assistance is required to meet audit-reporting requirements mandated by law or DoD
regulations.

Front 28

The Government Management Reform Act of 1994 requires?

Back 28

The Treasury to annually prepare and submit to the President and Congress an audited financial statement for the preceding fiscal year covering all accounts and associated activities of the executive branch of the U.S.G

Front 29

Who performs all necessary contracts audits for the DOD and provides accounting and financial advisory services regarding contracts and to all DOD components?

Back 29

Defense Contract Audit Agency

Front 30

What is an Attestation Engagements?

Back 30

, auditors issue an examination, a review, or an agreed-upon procedures report on a subject matter, or an assertion about a subject matter that is the responsibility of another party

Front 31

What are the standards that applies to the Attestation Engagements?

Back 31

GAGAS
American Institute of Certified Public Accoutatants (AICPA) Standards

Front 32

What is the objective of Performance Audits?

Back 32

A common generic objective is to assess the adequacy of performance, and if poor, appraise the consequences and determine the causes and actions that might be taken to improve performance

Front 33

What is Financial Audits?

Back 33

Objectives for financial audits are predetermined and not defined by the audit organization. The generic objective is to provide an opinion on whether the financial statements are presently fairly in all material respects.

Front 34

In an attestation engagements, who reviews for errors, fraud, illegal acts, violations of contracts or grant agreements, or abuse that could have a material effect on the "subject matter."?

Back 34

the practitioner (equivalent to "auditor")

Front 35

Who may develop methods and approaches to be applied in evaluating a new or a proposed program, or
Forecast potential program outcomes under various assumptions without evaluating current
operations or Perform investigative work?

Back 35

Auditors

Front 36

How should Audit organizations ensure that the most important areas are selected for audit coverage?

Back 36

identify audit areas after considering the regulatory and statutory requirements, to identify what is consistent with the GPRA management plan, to identify specific concerns of management and Congress regarding key programs, and to identify high-risk areas

Front 37

One Characteristic of an Audit Plan is?

Back 37

The plan should always be flexible and adjusted, if necessary, to keep current with changing situations

Front 38

What are the phases of a Governmental Audit?

Back 38

•Plan. Define the audit's objectives, scope, and methodology to achieve those objectives.
•Review. Develop evidence to support conclusions and recommendations.
•Report. Prepare a written report on the results of the audit.

Front 39

What steps are included in the Audit Plan?

Back 39

Define audit's objectives and scope.
Design methodology.
Consider materiality (significance) and internal control effectiveness in procedures.

Front 40

What steps are included in the Audit Review?

Back 40

Gathering audit evidence that is:
-Sufficient (quantity) -Appropriate (quality)
Areas that should always be considered when gathering information are prior performance, performance of similar entities (if applicable), and findings or recommendations that have been previously reported

Front 41

What steps are included in the Audit Report?

Back 41

GAGAS requires auditors to prepare written or electronic audit reports that:
-Communicate the results of the audit to management (and others as appropriate)
- Make the audit information available fortimely use by management
-Comply with standards for form, content, and distribution

Front 42

What are GAO's additional standards the auditor needs to follow when a financial report is prepared under the Yellow Book?

Back 42

Types of Opinions:
•Unqualified (best)
•Qualified (exception)
•Disclaimer (unable to render an opinion)

Front 43

PerAmerican Institute of Certified Public Accoutatants (AICPA) standards, audit reports must include:

Back 43

-Whether statements were in accordance with GAAP
-Inconsistencies with last year
— Whether informative disclosures were reasonably adequate
-Statement of opinion regarding financial statements
-Per yellow book, auditors need to follow GAO's added standards,

Front 44

Performance Audit Reports are?

Back 44

Retrievable, suitable form Contents
-Objectives, scope, methodology -Findings (e.g.. control deficiencies, FWA,
conclusions, recommendations) - Compliance with Yellow Book Distribution Quality elements

Front 45

The elements of a traditional/classical finding are?

Back 45

•Conditions
•Criteria
•Effect
.Cause

Front 46

An auditor's recommendation is often considered ?

Back 46

fifth element

Front 47

Monetary Benefits maybe classified as?

Back 47

Funds Put to Better Use" or as "Questioned Cost

Front 48

Non-Monetary Benefits maybe classified as?

Back 48

Non-monetary benefits are those that are valuable to the government
but cannot be expressed in monetary terms. These benefits often relate to matters, such as
operational readiness, personnel safety, data accuracy, compliance with laws and regulations, or
streamlining of organizations or processes.

Front 49

Audit Review of Internal Control

Back 49

Provides reasonable assurance that organization's objectives are being achieved:
•Required for all audits and attestation engagements
•Useful in designing the nature, timing,and extent of further audit procedures
AUDIT REVIEW OF INTERNAL CONTROL