Cognizant Agencies

question 44

Multiple Choice

Cognizant agencies:

• A) Are responsible for conducting governmental single audits.
• B) Are assigned to each nonfederal agency expending more than $50 million of federal funds per year.
• C) Are also referred to as oversight agencies.
• D) Are responsible for issuing Government Auditing Standards.

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Definitions:

Void Contract

An agreement that is not legally binding and is unenforceable by law, typically because it lacks one or more essential elements of a valid contract.

Incompetent

Lacking the necessary skills, abilities, or legal qualifications to perform a task or to stand trial.

Binding Agreement

A legally enforceable contract that obligates the parties involved to adhere to the terms outlined within the agreement.

Bilateral Contract

A contract involving two parties where each promises to perform an act in exchange for the other's act.