When Substantive Tests Performed Identify Errors or Exceptions, the Auditor's

question 33

Multiple Choice

When substantive tests performed identify errors or exceptions, the auditor's first response is to:

• A) qualify the audit report.
• B) report the client to CPA Canada.
• C) understand why the exception or error has arisen.
• D) none of the above.

Discuss the development and scope of the doctrine of privity in contract law and its exceptions.

Understand the concepts of chose in action, negotiable instrument, and their significance in contract law.

Understand the concept of an assignment and its application in modern business practices.

Analyze the doctrine of privity, including its significance, challenges, and the evolution through leading cases.

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Definitions:

Forward Contract

A financial derivative instrument between two parties to buy or sell an asset at a specified future time at a price agreed upon today.

Settlement Date

The date on which a trade is finalized and the buyer must make payment and the seller deliver the asset.

Forward Rate

Refers to the agreed exchange rate for a currency transaction that will occur at a future date.

Exchange Gain

A profit resulting from holding foreign currencies that appreciate against the home currency.