Which of the Following Is a Third Party Whose Name

question 109

Multiple Choice

Which of the following is a third party whose name the auditor knows and for whose purpose the audit is conducted?

• A) Foreseen third party.
• B) Foreseeable third party.
• C) Primary beneficiary.
• D) Subrogee.

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Definitions:

Minor

A person under the age of legal adulthood, which varies by jurisdiction but is commonly 18 years old.

Contract

A legally enforceable agreement between two or more parties with mutual obligations.

Voidable

A legal term describing a contract or transaction that may be declared invalid by one of the parties to the contract.

Minor's Option

The legal ability of a minor to affirm or void contracts and agreements, based on their lack of legal capacity to enter into contracts.