Gert, an accountant, contracts to conduct an audit for Hailey. In performing the audit, Gert fails to detect certain misconduct. Gert is most likely
A. liable if a normal audit would have revealed the misconduct.
B. liable if Gert issues a specifically qualified opinion.
C. not liable if Gert generally disclaims any liability.
D. not liable if the misconduct was due to Hailey's negligence.
Answer: A
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Which of the following is an advantage of using dynamic models?
A. ?They help us understand how people form expectations about future economic variables. B. ?They help us understand the consumption decision of economic agents at a given point in time. C. ?They help us understand the production decisions of firms at a given point in time. D. ?They help us understand the movements in the business cycle.
The auditor should consider all of the following when deciding whether substantive procedures will be performed at an interim date except:
A. scheduling conflicts in the audit firm that make interim testing more convenient. B. the control environment and other relevant controls. C. the assessed risk of material misstatement. D. the purpose of the substantive procedure.
Items that are included on a bank statement and increase the bank account balance are called _________________________
Fill in the blank(s) with correct word
The fact that a customer may be called on by several salespeople from the same company is a disadvantage of a:
A) product/product system. B) market/market system. C) product/market system. D) market/customer system.