When the Auditor Knows That an Illegal Act Exists, He

question 98

Multiple Choice

When the auditor knows that an illegal act exists, he should:

• A) modify the audit report.
• B) consider the adequacy of disclosures.
• C) consider the effects on the financial statements.
• D) all of the above

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Definitions:

Decibels

A unit of measurement for the intensity of sound, indicating the pressure level of sound waves.

Absolute Threshold

the minimum intensity of stimulation required to be detected 50% of the time.

Perceptual Adaptation

The ability of the body to adjust to an environment by filtering distractions.

Audition

The sense or act of hearing, which is critical for communication, alertness, and social interactions.