Which of the following statements ordinarily is included among the written management representations obtained by the auditor?
A)Compensating balances and other arrangements involving restrictions on cash balances have been disclosed.
B)Management acknowledges responsibility for illegal actions committed by employees.
C)Sufficient evidential matter has been made available to permit the issuance of an unqualified opinion.
D)Management acknowledges that there are no material misstatements in the internal controls.

Question

Quizplus · Accepted Answer

Compensating balances and other arrangements involving restrictions on cash balances are typically disclosed in the financial statements, and auditors often obtain written representations from management confirming their completeness and accuracy. This helps ensure that all significant terms and arrangements are fully disclosed in accordance with the applicable financial reporting framework.

Which of the Following Statements Ordinarily Is Included Among the Written