44. Which of the following is the most appropriate definition of negligence when considering auditor's liability? a) Negligence is the deliberate act to cover up deficiencies identified throughout the course of the audit. b) Negligence is some act or omission which occurs because the person concerned has failed to exercise the degree of care and skill appropriate to the circumstances. c) Negligence is some act or omission which occurs because the person concerned miscalculated the time necessary to undertake the audit. d) Negligence is some act or omission which occurs because the person concerned is not yet a qualified accountant. 45. What is the appropriate response if a prospective client does not give permission to a proposed new auditor to communicate with the existing or predecessor auditor? a) contact the existing auditor anyway b) decline the appointment c) attempt to find out the information by other means and then decide on whether to accept or decline the appointment d) accept the appointment anyway as communication is only a matter of professional courtesy 46. An audit in accordance with ISAs is conducted on the premise auditors share with management and those charged with governance responsibilities for financial statements, accounting methods and internal control. a) True b) False 47. What are an interim audit and final audit? a) Interim: a review process that is less than a full audit: Final audit: a full audit b) Interim: performed during the year: Final: performed after the year end c) Interim: performed by the internal auditor: Final: performed by external auditor d) Interim: performed by the auditor appointed until next AGM; Interim performed by the auditor appointed at the AGM