Under the Rules of Section 10A of the Securities Exchange

question 33

Multiple Choice

Under the rules of Section 10A of the Securities Exchange Act of 1994,if an auditor detects an illegal act having a material effect on the financial accounts,to whom must the accountant first report the finding?

• A) the client's management and audit committee
• B) the client's board of directors
• C) the Securities and Exchange Commission
• D) the client's shareholders

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Definitions:

Interpersonal Roles

The roles individuals play within a group or organization that involve communication and interaction with other members.

Motivate

To provide with a reason or incentive to act in a certain way, often aimed at enhancing performance or achieving specific goals.

Liaison

A role or function that acts as a bridge or intermediary between different groups or departments within an organization to ensure effective communication and coordination.

Representational Function

The aspect of cognitive psychology concerned with how the brain represents information, such as thoughts or perceptions, internally.