An auditor suspects its client is committing illegal acts that will have a material impact on its financial statements. What is the auditor legally required to do and under what circumstances would the auditor directly notify the SEC?
What will be an ideal response?
Under Section 10A of the 1934 Act, the auditor must first contact the company's board of directors. If the board refuses to take corrective action, the auditor is required to issue a formal report to the board. If the board receives such an official report from the auditor, it is required to notify the SEC within one business day. If the auditor does not receive a copy of this SEC notice, it must notify the SEC directly.
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a. True b. False Indicate whether the statement is true or false
Elmer is 55 years old and was recently laid off from his job at the Mid-America Corporation. He has applied for 30 different jobs, but has been told that the companies prefer younger workers. Does Elmer have any recourse under federal law?
________ project closure is the most common circumstance for project closure and is simply a completed project.
Fill in the blank(s) with the appropriate word(s).
If a firm relaxes its credit standards, the volume of accounts receivable increases and so does the firm's carrying cost
Indicate whether the statement is true or false