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Three Steps Must Be Completed by the Auditor Before He

question 14

Essay

Three steps must be completed by the auditor before he or she can conclude that control risk is low.Discuss these three steps.


Definitions:

Accepted Draft

An agreement or negotiable instrument that has been formally acknowledged by the addressee, promising to pay the specified amount by a certain date.

Obligated

Being legally or morally required to do something based on laws, regulations, agreements, or ethical principles.

Alteration Defense

A legal argument used when a document has been changed or modified, affecting the obligations or rights under that document.

Presentment

The formal presentation of a document such as a check or bill of exchange for payment or acceptance.

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