Which of the Following Statements Regarding the Letter of Representation

question 143

Multiple Choice

Which of the following statements regarding the letter of representation is not correct?

• A) It is prepared on the client's letterhead.
• B) It is addressed to the CPA firm.
• C) It is signed by high-level corporate officials, usually the president and chief financial officer.
• D) It is optional, not required, that the auditor obtain such a letter from management.

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Definitions:

Creative Problem Solving

An approach to finding innovative solutions to complex problems through creativity, thinking outside the box, and exploring unconventional approaches.

Alternatives

Other options or choices available in a decision-making process.

Preparation

The act of making ready or being made ready for use or consideration, often involving planning or organization.

Verification

The process of establishing the truth, accuracy, or validity of something.