Which of the Following Factors Most Likely Would Lead a CPA

question 395

Multiple Choice

Which of the following factors most likely would lead a CPA to conclude that a potential audit engagement should be rejected?

• A) The details of most recorded transactions are not available after a specified period of time.
• B) Internal control activities requiring the segregation of duties are subject to management override.
• C) It is unlikely that sufficient appropriate evidence is available to support an opinion on the financial statements.
• D) Management has a reputation for consulting with several accounting firms about significant accounting issues.

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Definitions:

Secretions

Substances produced and released by cells or glands in the body, fulfilling various functions like lubrication, digestion, and defense against pathogens.

Intestinal Tract

The continuous tube running from the stomach to the anus, part of the digestive system, responsible for nutrient absorption and waste excretion.

Synapse

The minute space between the axon of one neuron and the dendrite of another.

Neuron

A specialized cell transmitting nerve impulses; a nerve cell.