Auditing and Assurance Services 1st Edition by Iris Stuart

تمرين 8

Client representation letter. Consider the audit procedure to obtain a representation letter from the client at the end of the audit. The staff accountant on the engagement questions the necessity for this procedure, saying, "Isn't this procedure silly I give the client a copy of the representation letter and ask them to type it on the company's letterhead. What good is this letter if I tell the client what to say Couldn't they just say that they did what I told them to do and didn't really understand what they were signing "
a. How would you answer this question
b. How does the representation letter provide important audit evidence to the auditors Why is it a required audit procedure