Question 1
Discuss the similarities and differences between the roles of independent auditors, GAO auditors, internal revenue agents, and internal auditors.
Question 2
Match the engagement described to the (A) type of audit and (B) auditor that would most likely perform the engagement. Each engagement will have an answer from List-A and List-B. An answer can be used once, more than once, or
not at all.
| List A - Type of Audit: | List B - Type of Auditor: |
a. Financial Statement
b. Compliance
c. Operational | d. Internal
e. External
f. Government
g. IRS |
Engagement:
1. Evaluate a company's payroll processing for economy of scale.
2. Evaluate/determine if bank covenants are being met.
3. Evaluate financial statements that are to be submitted to a bank.
4. Evaluate the promptness of materials inspection in a manufacturer's receiving department.
5. Determine if Medicare reimbursements are in accordance with the Healthcare Financing Administration (HCFA).
6. Determine if the tax return of a multinational corporation is in accordance with the tax code.
7. Determine if a public school is properly applying their reimbursement for the payment-in-kind program.
8. Determine the effectiveness of a Department of Defense project.
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