Who generally signs the legal letter?

Who generally signs the legal letter? 

A. The board of directors.
B. The audit partner.
C. The CEO of the entity being audited.
D. The entity's attorneys.


Answer: The CEO of the entity being audited.

After issuance of the auditor's report, the auditor has no obligation to make any further inquiries with respect to audited financial statements covered by that report unless

After issuance of the auditor's report, the auditor has no obligation to make any further inquiries with respect to audited financial statements covered by that report unless 

A. A final resolution of a contingency that had resulted in a qualification of the auditor's report is made.
B. A development occurs that may affect the entity's ability to continue as a going concern.
C. An investigation of the auditor's practice by a peer review committee ensues.
D. New information is discovered concerning undisclosed related party transactions of the previously audited period.


Answer: New information is discovered concerning undisclosed related party transactions of the previously audited period.

After an auditor has issued an audit report on a nonpublic entity, there is no obligation to make any further audit tests or inquiries with respect to the audited financial statements covered by that report unless

After an auditor has issued an audit report on a nonpublic entity, there is no obligation to make any further audit tests or inquiries with respect to the audited financial statements covered by that report unless 

A. New information comes to the auditor's attention concerning an event that occurred prior to the date of the auditor's report that may have affected the auditor's report.
B. Material adverse events occur after the date of the auditor's report.
C. Final determination or resolution was made on matters that had resulted in a qualification in the auditor's report.
D. Final determination or resolution was made of a contingency that had been disclosed in the financial statements and no liability arose from the resolution.


Answer: New information comes to the auditor's attention concerning an event that occurred prior to the date of the auditor's report that may have affected the auditor's report.

After issuance of the auditor's report, the auditor has no obligation to make any further inquiries with respect to audited financial statements covered by an auditor's report unless

After issuance of the auditor's report, the auditor has no obligation to make any further inquiries with respect to audited financial statements covered by an auditor's report unless 

A. A lawsuit in which risk of loss was considered remote is resolved in the company's favor.
B. A development occurs that may affect the entity's ability to continue as a going concern.
C. A material fraud is initiated by an employee after the report is issued.
D. Evidence of significant, non-arms-length, related party transactions that happened prior to year-end is discovered.


Answer: Evidence of significant, non-arms-length, related party transactions that happened prior to year-end is discovered.