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20-29. Multiple Choice Questions Select the best answer for each of the following and explain fully the reason for your a. A report on an attestation engagement should LO 20-2 (1) State the nature of the client's control system (2) State the practitioner's conclusion about the subject matter or assertion (3) Inchude a reasonable limitations section pertaining to data inputs. (4) Refer to the auditor's assertion concerning the subject matter. LO 204 bWhen an accountant examines a financial forecast that fails to disclose several significant assumptions used to Page 784 prepare the forecast, the accountant should describe the assumptions in the accountant's report and issue a(n) (1) Qualified opinion. (2) Unqualified opinion with a separate explanatory paragraph (3) Disclaimer of opinion. (4) Adverse opinion. LO 205 c Which of the following is not an objective of a CPA's examination of a client's MD&A (1) The presentation includes, in all material respects, the required elements of the rules and regulations adopted by the Securities and Exchange Commission (2) The presentation is in conformity with rules and regulations adopted by the SEC (3) The historical amounts included in the presentation have been accurately derived, in all material respects, from the entity's financial statements. (4) The underlying information, determinations, estjmates, and assumptions provide a reasonable basis for the disclosures in the presentation. LO 206 d A CPA's report relating to a SysTrust engagement is most likely to inchade: (1) An opinion on whether the system is electronically secure. (2) An opinion on (3) Negative assurance on whether the system is secure. (4) No opinion or other assurance, but a summary of findings relating to the system. assertion that the system meets one or more of the Sys Trust principles. LO 205 e. When performing an examination, if a CPA finds one or more significant assumptions are not

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