Auditors Often Request That the Entity Send a Letter of Inquiry

question 23

Multiple Choice

Auditors often request that the entity send a letter of inquiry to those attorneys who have been consulted with respect to litigation, claims, and/or assessments. The primary reason for this request is to provide the auditor with

• A) An estimate of the dollar amount of the probable loss.
• B) An expert opinion as to whether a loss is possible, probable, or remote.
• C) Information concerning the progress of cases to date.
• D) Corroborative inquiries made of the entity by the auditor.