Which of the following statements regarding reliability of information is true

Asked by smarwater

Which of the following statements concerning reliability and validity is NOT true?

a) A measurement is valid if it measures what it is supposed to measure

b) If a measurement is reliable, it will have strong validity

c) If a measurement is not reliable, it will not have strong validity

d) Content validity is high when a measurement assesses all important dimensions of a phenomenon of interest

Answer & Explanation

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6.Which of the following statements on reliability is incorrect? Audit evidence (that) isA.Generally more reliable when it exists in documentary form as compared to evidenceconsisting of oral representations from the client.B.Generally more reliably when obtained directly by the auditor as compared to audit evidence obtained indirectly (second-hand knowledge) or by interference.C.Generally more reliable when it is obtained from independent sources outside the entity as compared to audit evidence obtained from within the entity.D.Generally internally under conditions of good internal control does not meet the required appropriateness of evidence mentioned in PSA 500.

7.Management assertions drive the auditor’s quest for audit evidence. These assertions are:A.Directly related to generally accepted auditing standards.B.Directly related to generally accepted accounting principles.C.Indirectly related to generally accepted auditing standards.D.Indirectly related to generally accepted accounting principles.8.Assertions about account balances at the period-end include valuation and allocation, which means thatA.Assets, liabilities, and equity interests exist.B.All assets, liabilities, and equity interests that should have been recorded have been recorded.C.Assets, liabilities, and equity interests are included in the financial statements at appropriate amounts and any resulting valuation or allocation adjustments are appropriately recorded.D.The entity holds or controls the rights to assets, and liabilities are the obligations of the entity.9.The following are descriptions of assertions about classes of transactions and events for the period under audit. Which of the following statements refer to cut-off?A.All transactions and events that should have been recorded have been recorded.B.Amounts and other data relating to recorded transactions and events have been recorded appropriately.C.Transactions and events have been recorded in the correct accounting period.D.Transactions and events have been recorded in the proper account.E.Transactions and events that have been recorded have occurred, and pertain to the entity.10. The following are descriptions of assertions about presentation and disclosure. Which one refers to completeness?A.All disclosures that should have been included in the financial statements have been included.B.Disclosed events, transactions. And others matters have occurred and pertain to the entity.C.Financial information is appropriately presented and described, and disclosures are clearly expressed.D.Financial and other information are disclosed fairly and at appropriate amounts.

Which of the following statement regarding reliability of information is true?

Question: Which of the following statements regarding reliability of information is true? Scanned versions of original documents are as reliable as the original documents.

Which of the following statements is correct about the reliability of audit evidence?

The correct answer is c. The auditor must obtain a sufficient amount of relevant and reliable evidence to form an opinion on the fairness of the financial statements.