Midterm 1 - Module 3 (148-152)

Question 2

Which of the following statements is correct conerning an auditor’s required communication with those charged with governance of audit client?

Answer 2

This communication should include discussion of any significant disagreements with management concerning the financial statements.

Question 3

An auditor would LEAST likely initiate a discussion with those charged with governanace of an audit client concerning…

Answer 3

The maximum dollar amount of misstatements that could exist without causing the financial statemetns to be materially misstated.

Question 4

Which of the following statements is correct about an auditor’s required communication with those charged with governance of an audit client?

Answer 4

The auditor is required to inform those charged with governanace about significant misstatements discovered by the auditor and subsequently corrected by management.

Question 5

Which of the following matters is an auditor required to communcate to an entity’s audit committee?

Answer 5

I only.

Question 6

Should an auditor communicate the following matters to those charged with governanace of an audit client?

Answer 6

Yes, Yes.