Beaver Auditing Inc. has been approached by the management of Igloo Enterprises, a regional maker of ice creams and other iced treats in the southeastern United States, Igloo Enterprises is searching for a new external auditor to complete its yearly financial statement audit. Beaver Auditing Inc. has recently lost a number of key and experienced staff to a competitor due to a better salary and benefits package, and has been struggling to replace the lost expertise. The partners of Beaver Auditing Inc. are meeting to discuss whether or not they should accept this audit engagement. Which of the choices below would best represent concerns that Beaver's partners may have in accepting this audit?

Beaver's partners may be concerned with the heightened risk that the audit client is new, and that as a result, there is an Increased chance of the auditors missing a material misstatement in the financial statements.

Beaver's partners are likely to be concerned that the firm may struggle to complete the engagement with professional competence due to expertise lacking in certain areas, and may also be concerned as to whether this lack of expertise will cause a lack of due care.

The partners may be concerned that due to a staffing shortage, the external auditors will be less likely to be able to collect sufficient relevant data, which in turn means decreased inherent risk and an increased likelihood of future litigation. The partners may be concerned about being able to complete the audit in the agreed upon timeframe, which may result in the auditor's reliance on t the internal audit function to complete the areas where expertise is lackingBeaver Auditing Inc. has been approached by the management of Igloo Enterprises, a regional maker of ice creams and other iced treats in the southeastern United States, Igloo Enterprises is searching for a new external auditor to complete its yearly financial statement audit. Beaver Auditing Inc. has recently lost a number of key and experienced staff to a competitor due to a better salary and benefits package, and has been struggling to replace the lost expertise. The partners of Beaver Auditing Inc. are meeting to discuss whether or not they should accept this audit engagement. Which of the choices below would best represent concerns that Beaver's partners may have in accepting this audit?

Beaver's partners may be concerned with the heightened risk that the audit client is new, and that as a result, there is an Increased chance of the auditors missing a material misstatement in the financial statements.

Beaver's partners are likely to be concerned that the firm may struggle to complete the engagement with professional competence due to expertise lacking in certain areas, and may also be concerned as to whether this lack of expertise will cause a lack of due care.

The partners may be concerned that due to a staffing shortage, the external auditors will be less likely to be able to collect sufficient relevant data, which in turn means decreased inherent risk and an increased likelihood of future litigation. The partners may be concerned about being able to complete the audit in the agreed upon timeframe, which may result in the auditor's reliance on t the internal audit function to complete the areas where expertise is lacking