Subsequent to the Issuance of the Audit Report,the Auditor Became

question 2

Multiple Choice

Subsequent to the issuance of the audit report,the auditor became aware of facts existing at the report date that would have affected the report had the auditor then been aware of such facts.After determining that the information is reliable,the auditor should ________.

• A)determine whether there are persons relying or likely to rely on the financial statements who would attach importance to the information
• B)request that management disclose the newly discovered information by issuing revised financial statements
• C)issue revised pro forma financial statements taking into consideration the newly discovered information
• D)give public notice that the auditor is no longer associated with the financial statements

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Definitions:

Control Arm Bushings

Rubber or polyurethane components that fit into control arms to provide a cushion and reduce vibration between the arm and the vehicle frame.

Common Wear

The usual or expected pattern of degradation or erosion on an object or part due to regular use or exposure over time.

Wear Indicator

A feature on brake pads that produces a noise or visual signal to alert when the pads are worn to a critical level and need replacement.

Socket Housing

The enclosure or casing designed to hold and protect the socket element of an electrical, mechanical, or electronic device.