Which of the Following Must the Auditor Communicate to the Audit

question 72

Multiple Choice

Which of the following must the auditor communicate to the audit committee?

• A)Significant deficiencies and material weaknesses.
• B)Only significant deficiencies.
• C)Only material weaknesses.
• D)Neither significant deficiencies nor material weaknesses.

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Definitions:

Equivalent Variation

A measure in economics that indicates the amount of money a consumer would need to reach their initial utility level after a price change.

Price Change

A variation in the cost of goods or services over time, which can be an increase or decrease.

Income

The total amount of money earned by an individual or entity from various sources, including work, investments, or benefits, over a specified period.

Utility Function

A mathematical representation in economics that describes how the satisfaction or utility a consumer derives varies with consumption of goods or services.