Which of the following matters generally is included in an auditor's engagement letter?

I. Management's responsibility for the fair presentation of the financial statements in accordance with GAAS

II. The auditor's preliminary assessment of the risk factors relating to potential misstatements arising from fraudulent financial reporting.

a) I only

b) II only

c) Both I and II

d) Neither I nor II

The tendency for decision makers to put more weight on information that is consistent with their initial beliefs is a description of which of the following?

a) Availability tendency

b) Confirmation tendency

c) Anchoring tendency

d) Overconfidence tendency