An auditor should obtain evidential matter relevant to all the following factors concerning third-party litigation against an entity except the:
A) Period in which the underlying cause for legal action occurred.
B) Probability of an unfavorable outcome.
C) Jurisdiction in which the matter will be resolved.
D) Existence of a situation indicating an uncertainty as to the possible loss.

Question

Quizplus · Accepted Answer

The jurisdiction in which the matter will be resolved is not typically a factor that auditors need to consider when assessing third-party litigation against an entity. The focus is more on the timing, probability, and potential impact of the litigation.

An Auditor Should Obtain Evidential Matter Relevant to All the Following