After an Audit Report Is Issued,the Auditor Discovers Through a Peer

question 97

Multiple Choice

After an audit report is issued,the auditor discovers through a peer review that an important audit procedure has been omitted.The auditor should do which of the following?

• A)notify all parties known to be relying on the report.
• B)immediately request the client recall the report.
• C)contact his or her professional liability insurance carrier.
• D)determine whether the report can still be supported in light of the omitted procedure.

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Definitions:

Pollution

The introduction of harmful substances or products into the environment, leading to adverse effects on living organisms and ecosystems.

Emissions Tax

An emissions tax is designed to reduce environmental harm by charging a fee for the emission of pollutants, incentivizing businesses and individuals to decrease their environmental impact.

Socially Optimal

A condition or outcome that maximizes the well-being of society as a whole, often considered in economic policies or strategies.

Marginal Social Cost

The total cost to society of producing one additional unit of a good or service, including both private costs and externalities.