The permanent file section of the working papers that is kept for each audit client most likely contains:
A) Review notes pertaining to questions and comments regarding the audit work performed.
B) A schedule of time spent on the engagement by each individual auditor.
C) Correspondence with the client's legal counsel concerning pending litigation.
D) Narrative descriptions of the client's accounting procedures and controls.

Question

Quizplus · Accepted Answer

The permanent file section generally contains information that has a continuing interest from year to year, such as the client's articles of incorporation, bylaws, and narrative descriptions of the client's accounting procedures and internal controls. Review notes, time schedules, and legal correspondence would typically be found in other sections of the working papers.

The Permanent File Section of the Working Papers That Is