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NEW QUESTION: 1
Baker, CPA, was engaged to review the financial statements of Hall Company, a nonissuer. Evidence
came to Baker's attention that indicated substantial doubt as to Hall's ability to continue as a going
concern. The principal conditions and events that caused the substantial doubt have been fully disclosed
in the notes to Hall's financial statements. Which of the following statements best describes Baker's
reporting responsibility concerning this matter?
A. Baker should issue an accountant's compilation report instead of a review report.
B. Baker is not required to modify the accountant's review report.
C. Baker is not permitted to modify the accountant's review report.
D. Baker should express a qualified opinion in the accountant's review report.
Answer: B
Explanation:
Explanation/Reference:
Explanation:
Choice "A" is correct. Since the principal conditions and events that caused the substantial doubt as to the
company's ability to continue as a going concern have been fully disclosed in the notes to Hall's financial
statements, Baker is not required to modify the accountant's review report. Baker may, however, choose to
emphasize this issue in the report.
Choice "B" is incorrect. The auditor is permitted to modify his review report as he/she feels appropriate in
the circumstances.
Choice "C" is incorrect. Baker did not perform a compilation; therefore, a compilation report would not be
appropriate.
Choice "D" is incorrect. Since the facts have been fully disclosed in the notes to the financial statements,
no modification to the review report is required. Also, an opinion is never expressed based on a review
engagement.
NEW QUESTION: 2
A recent security audit indicates that peer-to-peer applications are allowed on the guest VLAN and employees may have been using the guest VLAN for this purpose. You deploy the configuration shown in the exhibit, but it does not stop the peer-to-peer traffic.
In this scenario, what must you do to implement the security policy?
A. Attach the filter to the VLAN
B. Deploy storm control to block unknown unicast traffic
C. Implement 802.1X on the guest VLAN
D. Use persistent MAC learning
Answer: A
NEW QUESTION: 3
A. Option C
B. Option A
C. Option B
D. Option D
Answer: B
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