Which of these is not an assurance engagement?Group of answer choicesa review of historical financial informationa performance auditall are assurance engagementsa consulting engagement to help an organisation meet its tax obligations
Question
Which of these is not an assurance engagement?Group of answer choicesa review of historical financial informationa performance auditall are assurance engagementsa consulting engagement to help an organisation meet its tax obligations
Solution
The answer is "a consulting engagement to help an organisation meet its tax obligations". This is not an assurance engagement because it does not involve the evaluation or improvement of the effectiveness of risk management, control and governance processes. Instead, it is a type of advisory service.
Similar Questions
Which of these possible engagements by a firm with their accountants is an assurance engagement?Group of answer choicespreparing the tax returna management consulting servicean assessment of the internal control systempreparing financial reports
Assurance engagementSelect one:a.Is an engagement intended to enhance the credibility of information about a subject matter by evaluating whether the subject matter conforms in all material respects with suitable criteria, thereby improving the likelihood that the information will meet the needs of an intended user.b.Is an engagement in which a practitioner is engaged to issue, or does issue, a written communication that expresses a conclusion about the reliability of a written assertion that is the responsibility of another party.c.Is an engagement in which the auditor provides a moderate level of assurance that the information subject to the engagement is free of material misstatement.d.Is a systematic process of objectively obtaining and evaluating evidence regarding assertions about economic actions and events to ascertain the degree of correspondence between those assertions and established criteria and communicating the results to interested users.
Which of the following is the principle objective of an assurance engagement? a. Sufficient Appropriate Audit Evidence b. Evaluate Subject Matter Against Criteria c. Appropriate Subject Matter d. To express a conclusion
A practitioner accepts an assurance engagement only where the practitioner's preliminary knowledge of the engagement circumstances indicates that:(a) Relevant ethical requirements, such as independence and professional competence will be satisfied, and(b) The engagement exhibits all of the following characteristics, except:Select one:a.The criteria to be used are suitable and are available to the intended users;b.The subject matter is appropriate;c.The practitioner has access to sufficient appropriate evidence to support the practitioner's conclusion;d.All of the following
Performance engagements may give rise to:Group of answer choicesreasonable assuranceeither reasonable assurance or limited assurancecomplete assurancelimited assurance
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