TRUE/FALSE. Write 'T' if the statement is true and 'F' if the statement is false. 1) 1) Auditing standards indicate that reasonable assurance is a moderate, but not absolute, level of assurance that the financial statements are free of material misstatement. 2) An audit objective focused on transactions in the sales journal is a balance-related audit objective. 3) 3) The preparation of the financial statements by management contain complex estimates; therefore, the auditor has to rely upon evidence which is convincing, not just persuasive. 4) 4) In signing the quarterly and the annual financial statements filed with the Securities and Exchange Commission, management certifies the financial statements comply with the Securities Exchange Act of 1933 5) 5) One of the paragraphs of the auditor's report includes a paragraph addressing the auditor's responsibility for not detecting material misstatements in the financial statements, as this is management's responsibility, not the auditors. 6) Under the cycle approach, the capital acquisition and repayment cycle is closely related to the acquisition and payment cycle