Edmund, who is auditing the books of Windgrove Co., becomes aware of information indicating an illegal act within the company. Edmund must:

Question

Quizplus · Accepted Answer

As an auditor, Edmund has a responsibility to investigate the potential illegal act and determine its impact on the company's financial statements. He must communicate his findings to the appropriate parties, such as the audit committee or management, and take necessary steps to ensure the issue is addressed. Simply resigning or alerting law enforcement is not sufficient, as the auditor has a duty to report and investigate potential issues within the company they are auditing.

Edmund, Who Is Auditing the Books of Windgrove Co