exam questions

Exam AUD All Questions

View all questions & answers for the AUD exam

Exam AUD topic 1 question 1 discussion

Actual exam question from AICPA's AUD
Question #: 1
Topic #: 1
[All AUD Questions]

Several sources of GAAP consulted by an auditor are in conflict as to the application of an accounting principle. Which of the following should the auditor consider the most authoritative?

  • A. FASB Technical Bulletins.
  • B. AICPA Accounting Interpretations.
  • C. FASB Statements of Financial Accounting Concepts.
  • D. AICPA Technical Practice Aids.
Show Suggested Answer Hide Answer
Suggested Answer: A 🗳️
Choice "A" is correct. In accordance with the GAAP hierarchy, FASB Technical Bulletins are considered the most authoritative of the sources listed in the question.
Choice "B" is incorrect. Of the sources listed, AICPA Accounting Interpretations would be considered the second most authoritative.
Choice "C" is incorrect. FASB Statements of Financial Accounting Concepts are among the least authoritative sources of GAAP available to auditors.
Choice "D" is incorrect. AICPA Technical Practice Aids are among the least authoritative sources of GAAP available to auditors.

Comments

Chosen Answer:
This is a voting comment (?). It is better to Upvote an existing comment if you don't have anything to add.
Switch to a voting comment New
qweprism
2 weeks, 4 days ago
Selected Answer: A
bulletins
upvoted 1 times
...
Community vote distribution
A (35%)
C (25%)
B (20%)
Other
Most Voted
A voting comment increases the vote count for the chosen answer by one.

Upvoting a comment with a selected answer will also increase the vote count towards that answer by one. So if you see a comment that you already agree with, you can upvote it instead of posting a new comment.

SaveCancel
Loading ...
exam
Someone Bought Contributor Access for:
SY0-701
London, 1 minute ago