Written Representations Flashcards
1
Q
What is the purpose of written representations?
A
Avoids confusion/disagreement, and they are more reliable.
2
Q
What is the format of written representations?
A
Auditor: prepares a draft management letter, asks directors to sign it, and requires its return BEFORE the audit report is signed.
3
Q
Written representation requirement (general matters)?
A
Confirmation that: management has fulfilled its responsibility, relevant info has been provided, and all transactions have been recorded.
4
Q
Written representation other matters?
A
Auditor may obtain: other representations to support other evidence.
5
Q
Reliability
A
Written representations CANNOT be used instead of other evidence which the auditor expects to exist.
