Understanding on the limits of materiality


Question: An auditor should obtain written representations from the company's attorney concerning litigation claims and assessments, which may be limited to matters that are considered either individually or collectively material. An understanding on the limits of materiality for this purpose has been reached by: Multiple Choice The auditor and the client's lawyer. The auditor independently of management. Management and the auditor. Management, the client's lawyer, and the auditor.

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Accounting Basics: Understanding on the limits of materiality
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