AGA Exam CGFM Topic 4 Question 42 Discussion

Actual exam question for AGA's CGFM exam

Question #: 42
Topic #: 4

[All CGFM Questions]

The auditors provide _______________ of the reliability of the financial statements.

AReasonable assurance

BSample

CMaterial misstatement

DNone of these

Show Suggested Answer

Suggested Answer: A

by Bernardo at Mar 18, 2024, 02:35 AM

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Josefa

5 months ago

True, material misstatements can have a significant impact on the decision-making process of users relying on the financial statements.

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Suzan

5 months ago

I think material misstatement is also important to consider, as it can impact the overall accuracy of the financial statements.

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Lenny

6 months ago

Using a sample can help in testing transactions, but reasonable assurance involves more comprehensive testing.

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Sylvia

6 months ago

But what about using a sample for auditing, isn't that enough to ensure reliability?

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Barrett

6 months ago

I agree, reasonable assurance means the auditors have conducted enough testing to give a high level of confidence.

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Chery

6 months ago

I think the auditors provide reasonable assurance of the reliability of the financial statements.

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Novella

7 months ago

So, it's important for auditors to provide reasonable assurance to help detect material misstatements.

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Rosio

7 months ago

That's true, material misstatements can have a significant impact on the financial statements.

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Reed

7 months ago

Sample methods can be helpful, but they may not always catch material misstatements.

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Novella

7 months ago

But what about using sample methods for auditing?

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Rosio

7 months ago

I agree, reasonable assurance is crucial for ensuring the reliability of financial statements.

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Reed

7 months ago

The auditors provide reasonable assurance.

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