which of the following is not a purpose of the client letter of representation? course hero

Why is a letter of representation not deemed to be reliable?

What is an attorney responding to an independent auditor?

About this website

What is the purpose of a client representation letter?

By signing the letter of representation, the executive attests to the external auditor that all of the information submitted is accurate, and that all material information has been disclosed to the auditors.

What are the major purposes of obtaining representation letters from audit clients?

Answer and Explanation: The auditors obtain representation letters to confirm that they adhere to the accuracy of providing reliable information. It also states the management's responsibilities towards the auditing of financial statements.

What is the nature and purpose of a letter of representations?

The Letter of Representations is a letter written from the Association to its accountant representing that the financial statements for the time period covered by the engagement are the responsibility of "management".

What should be included in a letter of representation?

Contents of a Management Representation Letter All financial records have been made available to the auditors. All board of directors minutes are complete. Management has made available all letters from regulatory agencies regarding financial reporting noncompliance. There are no unrecorded transactions.

What is the main purpose of a written representation letter quizlet?

A management representation letter is obtained by the auditor to reduce the possibility of a misunderstanding concerning management's responsibility for the financial statements and to document the representations made by management during the course of the audit.

Which of the following is an example of a representation letter?

Example of a Representation Letter. Ladies and Gentlemen, This letter is written to you in connection with the prospectus dated XXXXXXX 20XX, filed by [Company Name].

What is the purpose of representation?

The purpose of a representation election is to allow employees to determine via secret ballot which employee organization, if any, shall be certified to represent them in their employment relations with the employer.

What is the nature and purpose of a letter of representations comment on the quality or strength of the audit evidence yielded by a letter of representations?

The written letter of representation usually just confirms representations about data on the financial statement given to the auditors. It assures that management acknowledges that the financial statements are represented fairly in accordance to GAAP and that the information presented to the auditors is true.

Which of the following matters most likely would be included in a management representation letter for an integrated audit?

Which of the following matters most likely would be included in a management representation letter for an integrated audit? . The completeness and availability of minutes of stockholders' and directors' meetings.

How do you write a letter of representation?

A lawyer representation letter should include:Date;Address to whom the letter is sent to;The subject of the letter;Content or body of the letter. Briefly explaining why the lawyer is writing the letter and the general claim and damages.Signature.

What is the purpose of management letter?

Management Letter means a letter prepared by the auditor which discusses findings and recommendations for improvements in internal control, which were identified during the audit and were not required to be included in the auditors' report on internal control, and other management issues.

Do you need a letter of representation?

The purpose of the letter of representation is to signal to the insurance company that you have obtained a lawyer and are serious about obtaining a settlement. Once your lawyer sends the letter, you do not need to correspond with the claims adjuster. Your attorney will handle all aspects of your claim on your behalf.

What is the purpose of a management letter in an audit?

Management Letter means a letter prepared by the auditor which discusses findings and recommendations for improvements in internal control, which were identified during the audit and were not required to be included in the auditors' report on internal control, and other management issues.

What is a legal representation letter in audit?

A representation letter from legal counsel to the auditor, in response to a letter of audit inquiry from management to legal counsel, is the auditor's primary means of corroborating the information furnished by management concerning the accuracy and completeness of litigation, claims and assessments.

Is a representation letter required for a review?

Review Representation Letter A signed representation letter is required in all review engagements.

What are the audit implications if management refuses to give a representation letter?

(c) If the management refuses to provide written representation, the auditor will issue a qualified report or disclaimer. As part of the audit process, the management provides written representation to confirm certain matters in connection with the audit.

Auditing Chapter 24 Flashcards & Practice Test | Quizlet

Start studying Auditing Chapter 24. Learn vocabulary, terms, and more with flashcards, games, and other study tools.

Audit FINAL Chapter 24 Flashcards | Quizlet

Start studying Audit FINAL Chapter 24. Learn vocabulary, terms, and more with flashcards, games, and other study tools.

Chapter 24: Completing the Audit Flashcards Preview

Study Chapter 24: Completing the Audit flashcards from Kia Rainey's Florida International University class online, or in Brainscape's iPhone or Android app. Learn faster with spaced repetition.

Why is a letter of representation not deemed to be reliable?

A letter of representation is not deemed to be reliable evidence because of the lack of independence of the preparers. d. A letter of representation is documentation of the CPA's acceptance of responsibility for the audit of the financial statement and is deemed to be reliable. c.

What is an attorney responding to an independent auditor?

An attorney is responding to an independent auditor as a result of the client's letter of inquiry. The attorney may appropriately limit the response to: a. asserted claims and litigation. b. asserted, overtly threatened, or pending claims and litigation.

Why is a letter of representation not deemed to be reliable?

A letter of representation is not deemed to be reliable evidence because of the lack of independence of the preparers. d. A letter of representation is documentation of the CPA's acceptance of responsibility for the audit of the financial statement and is deemed to be reliable. c.

What is an attorney responding to an independent auditor?

An attorney is responding to an independent auditor as a result of the client's letter of inquiry. The attorney may appropriately limit the response to: a. asserted claims and litigation. b. asserted, overtly threatened, or pending claims and litigation.