The Auditor Relies on the Management Representation Letter To

question 14

Multiple Choice

The auditor relies on the management representation letter to:

• A)guarantee the absence of management fraud.
• B)confirm written representations given to the auditor.
• C)document the continuing materiality of management representations.
• D)reduce the possibility of misunderstanding concerning management's representations.

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Definitions:

UCC 3-103(a)(9)

Defines "instrument" within the context of the Uniform Commercial Code, focusing on negotiable instruments, including checks, drafts, and notes, detailing their formal requirements and effects.

Specified

Clearly stated or identified.

Implied

Something suggested or understood without being directly expressed.

Traveler's Check

A preprinted, fixed-amount check designed to allow the person signing it to make an unconditional payment to someone else as a result of having paid the issuer for this privilege.