When auditors become aware of noncompliance with a law or regulation committed by client personnel, the primary

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When auditors become aware of noncompliance with a law or regulation committed by client personnel, the primary reason that the auditors should obtain a better understanding of the nature of the act is to

a. Recommend remedial actions to the audit committee.

b. Evaluate the effect of the noncompliance on the financial statements.

c. Determine whether to contact law enforcement officials.

d. Determine whether other similar acts could have occurred.

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Auditing and Assurance Services

ISBN: 978-0077862343

6th edition

Authors: Timothy Louwers, Robert Ramsay, David Sinason, Jerry Straws

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Question Posted: Oct 27, 2014 05:33 AM

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When auditors become aware of noncompliance with a law or regulation committed by client personnel, the primary

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a Incorrect While the audit team may recommend remedial actions to th...View the full answer

Auditing and Assurance Services

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