When determining whether a liability exists, the intentions or actions of management do not need to be taken into accc Select one: O True O False

Q: State with reason whether the following statements are true or false Contingent liability is an…

A: Contingent liability can be defined as the liability that may occur on the basis of the outcome of…

Q: In providing discretionary information, the focus should be on meeting regulatory requirements О…

A: The given statement is False.

Q: Explain the auditor legal liability, this includes what law that procure such liability?

A: An auditor is expected to complete their tasks in good faith and with integrity and should operate…

Q: oo high, o

A: Since auditors can and often do not seek to review all activities, audit risk is essential to the…

Q: Non-compliance does not include: a. Professional misconduct b. Personal misconduct c. Intentional…

A: Non compliance include: Professional misconduct Intentional errors and omissions by entity…

Q: Management can estimate the amount of loss that will occur due to litigation against the company. If…

A: Given, Management can estimate the amount of loss that will occur due to litigation against the…

Q: If the previously stated situation is deemed to be a highly material event the type of report that…

A: The adverse opinion indicates that the firm's financial situation is not good and grossly…

Q: Which of the following is a valid defense in a strict products liability case? Group of answer…

A: Strict liability is a theory which describes the consequence and legal responsibility of any damage…

Q: Explain the role of Anticipatory Breach of Contract in non-performance of contract. Briefly state…

A: A financial contract is an independently agreed agreement, contract, or sale, purchase, exchange,…

Q: Strict Liability can be simply defined as: OA) dram shop laws. B) extreme negligence. C) liability…

A: Liability can be understood as a responsibility or obligation that one has towards others, often…

Q: general safeguards, to offset the Threats to Fundamental Principles of professional ethics?

A: Option a is wrong because continuing professional development requirements are to be complied with…

Q: Define a “liability” by listing its essential characteristics (not types of) as provided by our…

A: Liability :— It is a Financial obligation that is to be settled in the  future date.  Suppose an…

Q: A professional accountant should act diligently and in accordance with applicable technical and…

A: Solution: A professional accountant has a continuing duty to maintain professional knowledge and…

Q: The ultimate purpose of a test of controls is to obtain reasonable assurance that an assertion is…

A: The test of control is done to obtain a reasonable assurance that the control is running fine and is…

Q: When recognizing a contingent liability, if the future event is probable (likely) and the amount can…

A: It is a potential obligation that may arise from past events but its existence will be confirmed…

Q: What is the auditor's obligation in light of the prudent person concept?

A: An auditor is a person who reviews the financial statements of a company and gives his opinion. The…

Q: Are they any specific considerations  that must be taking into account when focusing on liability…

A: Liability: A liability is the amount of money that a company owes for the benefits enjoyed.…

Q: An estimated liability: A) Is an unknown liability of a certain amount. B) Is a known obligation of…

A: A liability is a legal obligation to pay other entities as a result of past transactions or other…

Q: The auditor shall express an adverse opinion when a matte

A: Auditor: Auditors can be a person or firm appointed by the company to review and provide opinions on…

Q: Which of the following is not an element necessary to prove professional negligence? a. There must…

A: Professional negligence is defined as the result of breach of duty of diligence occurred between a…

Q: Q1 (a) What attributes should an item or transaction exhibit in order to be classified as a…

A: Liability is an obligation which is to be paid at some future date. It is shown in the balance…

Q: Which common law approach leads to increased CPA liability to "foreseeable" third parties for…

A: CPA is liable to conduct the professional accounting work. He would be responsible for any…

Q: According to​ FASB, when should a company journalize a contingent​ liability?     A. Do not…

A: According to FASB (Financial Accounting Standards Board), a company should journalize a contingent…

Q: -Accurate -Clear Factual LUnbiased

A: Factual does not apply to the term "true or fair".

Q: When going concern assumption is appropriate, Auditor's opinion should be: a. disclaimer opinion b.…

A: Going Concern assumption- In this assumption, it is assumed that entity will run its business for…

Q: 28. The engagement letter represents the written contract for the engagement, and its primary…

A: The auditors send the client an engagement letter outlining the nature of the engagement, any scope…

Q: Which of the following does not apply to the term "true and fair"? a. Accurate b. Clear C . Factual…

A: The term true and fair refers to that financial statements are free from any material misstatements…

Q: Auditor's report is often called Independent Auditor's Report. Why is independence important to the…

A: Auditor is the person whos is responsible for identifying the fraud and errors presented in the…

Q: Management can estimate the amount of loss that will occur due to litigation against the company. If…

A: Contingent liabilityThe liability incurred at certain cases due to the happening that cannot be…

Q: TRUE OR FALSE EMPLOYEES CAN BE CONSIDERED BOTH AN ASSET AND A LIABILITY

A: Asset and Liabilities are the backbone of a firm , as they give a clear picture of a company's…

Q: 3.An important development in the area of breach of contract by an auditor is contributory…

A: Contributory Negligence In simple contributory Negligence which describes as negligence in the part…

Q: A contingent liability should be recorded in the financial statements when the:   Select one: a.…

A: Contingent liability is the liability that arises on an event may or may not happen. It is recorded…

Q: When the likelihood a liability will occur is remote but the amount can be estimated, the liability…

A: Financial statements are records that detail an organization's performance, cash flows, and…

Q: TRUE OR FALSE A liability can exist even if the party to whom the obligation is owed is not…

A: Liability:- A Liability is the amount owed from outsiders such as suppliers, creditors, investors,…

Q: explain the principles of classical immunization strategy to meet a single liability obligation

A: Immunization is referred to as a strategy to mitigate the chance that matches the duration of asset…

Q: Which of the following is not related to ethical requirements of auditors?a. Due care.b.…

A: As per the ethical requirement of an auditor it is imperative that the auditor's exercises due care,…

Q: Materiality is a key factor guiding the substantive procedures. which one is TRUE? Materiality level…

A: Materiality in audit is a concept which sets a threshold limit to obtain reasonable assurance that…

Q: Discuss creation of principal and agency relationship. What is vicarious liability?

A: At the point when an individual connects with another to follow up for his sake it makes a connec…

Q: If a contingent liability is probable but estimable only within a range, what amount, if any, should…

A: Liabilities: The claims creditors have over assets or resources of a company are referred to as…

Q: In explaining the meaning of obligation in the definition of a liability, the Conceptual Framework…

A: when a liability arises to pay the amount than obligations will arise.