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.


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

Business

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Answer the following statement true (T) or false (F)

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