CAS 250 requires the auditor to communicate illegal acts to the audit committee
A)if the illegal acts are slightly material.
B)if the illegal acts are material.
C)if the illegal acts are other than trivial.
D)regardless of materiality.

Question

Quizplus · Accepted Answer

CAS 250 requires the auditor to communicate illegal acts to the audit committee regardless of materiality. This is because illegal acts may have significant implications for the company's reputation and financial position, and the audit committee has the responsibility to oversee the company's compliance with legal and regulatory requirements. Therefore, the auditor must inform the audit committee of any illegal acts that come to their attention during the audit, regardless of whether they are material or not.

CAS 250 Requires the Auditor to Communicate Illegal Acts to the Audit