Previous Page Next Page Page 12 of 50 Question 12 (4 points) A retailer of medical imaging equipment has calculated its warranty reserve using industry averages of warranty claims by product. An auditor estimated the warranty reserve using the client's historical warranty claims. It is likely that the difference between the client's recorded reserve and the auditor's estimated reserve will be characterized as a difference in judgment if it is immaterial. True False Previous Page Next Page Page 12 of 50