When performing a review service, auditors must make inquiries of management. Which of the following inquiries are typically made of management?
A) Is each account on the financial statements prepared in conformity with accounting standards and consistently applied?
B) What unusual or significant transactions occurred this year?
C) Do you have knowledge of an actual or suspected fraud?
D) All of the above are inquiries typically made of management.

Question

Quizplus · Accepted Answer

All three inquiries listed are typically made of management during a review service. Inquiries about conformity with accounting standards and significant transactions are important to ensuring the accuracy and completeness of the financial statements, while inquiries about fraud are important to detecting any potential fraudulent activity.

When Performing a Review Service, Auditors Must Make Inquiries of Management