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GRAs Quiz

Total questions: 12

Worksheet time: 6mins

Name
Class
Date
1.

What does GRA stand for?

a)

Gross Revenue Amount

b)

Guided Risk Assessment

c)

Government Reserved Areas

d)

Gain Recognition Agreement

2.

We complete a separate GRAs for every…

a)

Significant account

b)

Insignificant account

c)

Financial statement line item

d)

Risk of material misstatement

3.

What is the section in GRA were we assess level of risk for each risk factor with Risk spectrum?

a)

GRA setup

b)

Risk factor evaluation

c)

Identify and assess

d)

Plan response

4.

What is the correct risk assessment flow?

a)

GRA - RoMMs - Suggested procedures - Suggested controls

b)

RoMMs - GRA - Suggested controls - Suggested procedures

c)

Suggested Controls - GRA - RoMMs - Suggested procedures

d)

GRA - RoMMs - Suggested controls - Suggested procedures

5.

What is NOT an example of Entity level GRA?

a)

Financial close and reporting

b)

Capitalized assets

c)

Going concern

d)

Related parties

6.

What can be a way to support risk factor level?

a)

Linking existing working paper from Omnia engagement

b)

Documenting our reasons in textbox

c)

Using GRA template support file

d)

All of the above

7.

How many levels does each risk factor in Risk factor evaluation have?

a)

2

b)

3

c)

4

d)

5

8.

What are 3 levels of RoMMs in Omnia GRAs?

a)

Lower / Higher / Maximum

b)

Lower / Medium / Significant

c)

Lower / Higher / Significant

d)

Lower / Medium / Higher

9.

What are the 2 types of RoMMs?

a)

Prescriptive and Deliberative

b)

Prescriptive and Standardized

c)

Prescriptive and Deliverable

d)

None of the above

10.

When should we document our choice of RoMM level?

a)

For every RoMM

b)

No reasonable possibility of material misstatement (NRPMM)

c)

NRPMM and mixed risk factors

d)

Never

11.

Is it possible to change answers in GRA after it was reviewed by the partner?

a)

Yes, risk assessment is an iterative process.

b)

No, nothing can be changes once reviewed by partner

c)

Yes, change quietly, so no one would ever know

d)

No, it is better to finalize substantive testing before GRA completion to avoid such situations.

12.

What is required volume of documentation for each risk factor evaluation?

a)

The more the better

b)

Brevity is the soul of wit

c)

It depends / Apply professional judgment

d)

I'd rather switch off all the factors. No risks - no documentation!