Other Than Inquiring of Management About Policies They Have Established

question 131

True/False

Other than inquiring of management about policies they have established to prevent illegal acts and whether management knows of any laws or regulations that the company has violated, the auditor should not search for illegal acts that do not have a direct effect on the financial statements unless there is reason to believe they may exist.

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Definitions:

Gender

Refers to the range of characteristics pertaining to, and differentiating between, masculinity and femininity.

Femininity

A set of attributes, behaviors, and roles generally associated with girls and women.

Sexuality

The capacity for sexual feelings, activities, and identification, including sexual orientation, preferences, and behavior.

Variables

Factors or conditions that can change and potentially affect the outcome of scientific experiments or research studies.