CAS 540 Refers to Management's Judgments That the Auditor Considers

question 18

Multiple Choice

CAS 540 refers to management's judgments that the auditor considers unreasonable as _________ misstatements.

• A)likely aggregate
• B)factual
• C)projected
• D)judgmental

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Definitions:

Unilateral Contract

An agreement where one party makes a promise in exchange for an act by another party, becoming binding once the act is performed.

AIG

American International Group, Inc., a multinational finance and insurance corporation with operations in more than 80 countries and jurisdictions.

Liquidated Debt

A debt for which the exact monetary value has been determined and acknowledged by all parties involved.

Accord And Satisfaction

Accord and Satisfaction is a legal agreement between parties to settle a dispute by agreeing on a payment that is different from what was originally owed.