The Auditor Has Sent Inquiry Letters to All of the Client's

question 56

Multiple Choice

The auditor has sent inquiry letters to all of the client's law firms.Two law firms stated that the client was unlikely to win the lawsuits in question,whereas the client had said the opposite.What action should the auditor take?

• A)Ask management for invoices supporting the omitted lawsuits.
• B)Request a meeting with management and the respective law firms.
• C)Ask the law firms to provide additional details with respect to the lawsuits.
• D)Change control risk to maximum and increase substantive testing.

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Definitions:

Unified Modeling Language (UML)

A standardized modeling language used in software engineering to visualize the design of a system.

Graphically

Pertaining to visual representation, especially in the context of data visualization, user interfaces, or graphical elements in applications.

Shallow Copying

The process of creating a new object and copying the field values of an existing object into it without recursively copying objects referenced by the fields.

Reference Variable

A variable in programming that holds a reference (or address) to an object rather than the object's value itself.