All Practice Exams
100+ Free CPA Australia Advanced Audit and Assurance Practice Questions
CPA Program — Advanced Audit and Assurance practice questions are available now; exam metadata is being verified.
✓ No registration✓ No credit card✓ No hidden fees✓ Start practicing immediately
Not published Pass Rate
100+ Questions
100% Free
1 / 100
Question 1
Score: 0/0
The five fundamental principles of the APES 110 Code of Ethics for professional accountants are:
A
B
C
D
to track
Same family resources
Explore More CPA Australia Program
Continue into nearby exams from the same family. Each card keeps practice questions, study guides, flashcards, videos, and articles in one place.
2026 Statistics
Key Facts: CPA Australia Advanced Audit and Assurance Exam
5 x 20%
Equally Weighted Modules
CPA Australia Subject Page
195 min
Exam Time
CPA Australia Exam FAQs
540
Passing Scaled Score
CPA Australia Exam Results
Open book
Exam Format
CPA Australia Exam FAQs
MCQ
Question Type
CPA Australia Subject Outline
100
Free Practice Questions
OpenExamPrep
CPA Australia's Advanced Audit and Assurance is an open-book, multiple-choice elective in the CPA Program built around five equally weighted modules: the auditing and assurance framework; planning the audit; performing the audit; conclusions and reporting; and other assurance engagements (each 20%). Candidates have 195 minutes (3 hours 15 minutes) of exam time within a 225-minute appointment. Results are reported as a scaled score from 100 to 900, with 540 the pass standard set by a panel of CPAs and FCPAs. The exam is delivered through Pearson VUE test centres or OnVUE online proctoring and covers ISA/ASA standards, ASQM 1 quality management, APES 110 ethics, group audits, and sustainability assurance under ISSA 5000.
Sample CPA Australia Advanced Audit and Assurance Practice Questions
Try these sample questions to test your CPA Australia Advanced Audit and Assurance exam readiness. Each question includes a detailed explanation. Start the interactive quiz above for the full 100+ question experience with AI tutoring.
1Under the assurance framework in ASAE 3000 / the IAASB International Framework for Assurance Engagements, which combination of elements must be present for an engagement to be an assurance engagement?
A.Only a two-party relationship between the practitioner and the responsible party plus a verbal opinion
B.A three-party relationship, a subject matter, suitable criteria, sufficient appropriate evidence, and a written assurance report
C.A subject matter and criteria, but evidence is optional where management provides representations
D.A signed engagement letter and a management representation letter, with no requirement for criteria
Explanation: The IAASB Framework specifies five elements of an assurance engagement: a three-party relationship (practitioner, responsible party, intended users), an appropriate underlying subject matter, suitable criteria, sufficient appropriate evidence, and a written assurance report. All five must be present.
2An assurance practitioner is engaged to provide limited assurance over an entity's greenhouse gas emissions statement. How does the nature of the conclusion in a limited assurance engagement differ from a reasonable assurance engagement?
A.Limited assurance gives a positive (affirmative) opinion, while reasonable assurance gives a negative opinion
B.Limited assurance expresses the conclusion in a negative form, stating nothing has come to the practitioner's attention indicating material misstatement, with engagement risk reduced to an acceptable but not low level
C.Limited and reasonable assurance produce identical conclusions; only the fee differs
D.Limited assurance requires the practitioner to guarantee the subject matter is free from all misstatement
Explanation: In a limited assurance engagement, procedures are deliberately more restricted and engagement risk is reduced to a level acceptable in the circumstances but greater than for reasonable assurance. The conclusion is therefore phrased negatively ('nothing has come to our attention'). Reasonable assurance gives a positive, affirmative opinion.
3Which body issues the Australian Auditing Standards (ASAs) that give legal force to the equivalent International Standards on Auditing (ISAs) for audits conducted under the Corporations Act 2001?
A.The Australian Securities and Investments Commission (ASIC)
B.The Australian Accounting Standards Board (AASB)
C.CPA Australia and Chartered Accountants ANZ jointly
D.The Auditing and Assurance Standards Board (AUASB)
Explanation: The AUASB is the standard-setting body that makes Australian Auditing Standards (ASAs), which are based on the IAASB's ISAs. ASAs made under section 336 of the Corporations Act 2001 have the force of law for Corporations Act audits.
4Under the APES 110 Code of Ethics (Independence Standards), a self-review threat to auditor independence most directly arises in which situation?
A.An audit team member previously prepared the accounting records or valuation now being audited by the same firm
B.The audit firm's fees from one client represent a large proportion of total firm revenue
C.A partner accepts a modest gift from the client at year end
D.The auditor is being sued by the client over an unrelated commercial matter
Explanation: A self-review threat occurs when the firm must evaluate, in the course of the audit, the results of a previous judgement or service it performed, such as preparing the client's accounting records or a valuation. The auditor may not appropriately evaluate its own prior work.
5Under ASA 220 / ISA 220 (Revised) and ASQM 1 (Quality Management), the engagement partner's responsibility for managing and achieving quality on an audit is best described as:
A.Delegated entirely to the firm's quality management function once the system of quality management is in place
B.Limited to signing the auditor's report at the conclusion of the engagement
C.Taking overall responsibility for managing and achieving quality, including being sufficiently and appropriately involved throughout the engagement
D.Confined to confirming that an engagement quality reviewer has been appointed
Explanation: Under ASA 220 (Revised), the engagement partner takes overall responsibility for managing and achieving quality on the engagement and must be sufficiently and appropriately involved throughout. ASQM 1 establishes the firm-level system of quality management that supports this.
6ASQM 1 (Quality Management for Firms) requires firms to adopt a quality management approach that is primarily:
A.A fixed checklist of policies applied identically to every firm regardless of size
B.Risk-based, requiring the firm to identify quality risks, design responses, and monitor and remediate the system
C.Focused only on independence confirmations collected annually
D.Concerned exclusively with the technical competence of new graduates
Explanation: ASQM 1 introduced a proactive, risk-based system of quality management. Firms must establish quality objectives, identify and assess quality risks, design and implement responses, and continuously monitor and remediate deficiencies, tailored to the nature and circumstances of the firm.
7Which of the following best describes the relationship between internal audit and external audit?
A.Internal audit reports to shareholders and external audit reports to management
B.External audit forms an independent opinion on the financial report for shareholders, while internal audit provides assurance and consulting to management and those charged with governance over risk, control, and governance
C.Internal audit must be performed by the same firm as the external audit to ensure consistency
D.External audit is optional whenever an internal audit function exists
Explanation: External auditors provide an independent opinion on the financial report primarily for shareholders. Internal audit is an internal function providing independent assurance and consulting to management and those charged with governance on the effectiveness of risk management, control, and governance processes.
8Under ASA 610 / ISA 610, when can the external auditor use the work of the internal audit function to obtain audit evidence?
A.Always, because internal audit is part of the same entity and therefore reliable
B.Only after evaluating the function's objectivity, competence, and whether it applies a systematic and disciplined approach, and the work is appropriate to the auditor's purposes
C.Never, because internal audit lacks independence from the entity
D.Only if the internal audit function is outsourced to a Big Four firm
Explanation: ASA 610 permits the external auditor to use the internal audit function's work only after evaluating its objectivity (organisational status), level of competence, and whether it applies a systematic and disciplined approach including quality control. The external auditor remains solely responsible for the audit opinion.
9The overarching objective of an audit of a financial report, as stated in ASA 200 / ISA 200, is for the auditor to:
A.Detect and report every fraud and error, regardless of materiality
B.Prepare the financial report in accordance with the applicable financial reporting framework
C.Obtain reasonable assurance about whether the financial report as a whole is free from material misstatement, and to report on the financial report
D.Provide a guarantee of the entity's future viability to lenders
Explanation: ASA 200 states the auditor's objective is to obtain reasonable assurance that the financial report as a whole is free from material misstatement, whether due to fraud or error, and to express an opinion and report. Reasonable assurance is high but not absolute.
10Professional scepticism, as required by the auditing standards, is best described as:
A.An assumption that management is dishonest until proven otherwise
B.An attitude that includes a questioning mind, being alert to conditions that may indicate misstatement, and a critical assessment of audit evidence
C.Accepting management's explanations to maintain a good client relationship
D.Performing only the procedures management requests
Explanation: Professional scepticism is an attitude that includes a questioning mind, being alert to conditions that may indicate possible misstatement due to error or fraud, and a critical assessment of audit evidence. It does not presume dishonesty but does not assume unquestioned honesty either.
About the CPA Australia Advanced Audit and Assurance Practice Questions
Verified exam format metadata for CPA Program — Advanced Audit and Assurance is pending. The practice questions above remain available while official exam length, timing, passing score, fee, and administrator details are reviewed.