Question
4.1 Select the item that most correctly states how the auditors communication with the clients attorney is initiated. a. The auditor telephones the clients attorney
4.1 Select the item that most correctly states how the auditors communication with the clients attorney is initiated.
a. The auditor telephones the clients attorney and explains his/her information needs.
b. The auditor seeks a subpoena from the court to force the attorney to answer the auditors questions about the client.
c. The auditor instructs the client to send the letter of audit inquiry to the clients attorney.
d. The client automatically knows to send the letter of audit inquiry to the clients attorney.
4.2 Select the item that most correctly states to whom the attorney sends the response to the clients letter concerning the auditor.
a. to the CEO of the client
b. to the audit committee of the client, if it has an audit committee, otherwise to the clients internal legal counsel
c. to the American Bar Association
d. to the auditor
4.3 Select the item that most correctly states the effect on the auditors report if the clients attorney refuses to furnish the information requested in the letter of audit inquiry.
a. There is no effect because the information requested relates to contingencies, which are estimated.
b. This is a scope limitation and the auditor would not be able to issue an unqualified opinion.
c. This is a scope limitation and the auditor would issue an adverse opinion.
d. This is a scope limitation and the auditor would issue a disclaimer of opinion.
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