If events or conditions have been identified that may cast significant doubt on the entity’s ability to continue as a going concern, the auditor shall: i) Obtain sufficient appropriate audit evidence to determine whether or not a material uncertainty exists ii) Request management to make its assessment of the material uncertainty iii) Evaluate management’s plans for future actions in relation to its going concern assessment, whether management’s plans are feasible iv) Evaluate the reliability of the underlying cash flow data v) Request written representations from management regarding their plans A. i) ii) and iv) B. iii) iv) and v) C. ii) iii) and iv) D. i) ii) iii) iv) and v)
If events or conditions have been identified that may cast significant doubt on the entity’s ability to continue as a going concern, the auditor shall: i) Obtain sufficient appropriate audit evidence to determine whether or not a material uncertainty exists ii) Request management to make its assessment of the material uncertainty iii) Evaluate management’s plans for future actions in relation to its going concern assessment, whether management’s plans are feasible iv) Evaluate the reliability of the underlying cash flow data v) Request written representations from management regarding their plans A. i) ii) and iv) B. iii) iv) and v) C. ii) iii) and iv) D. i) ii) iii) iv) and v)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
If events or conditions have been identified that may cast significant doubt on the entity’s ability to continue as a going concern, the auditor shall:
i) Obtain sufficient appropriate audit evidence to determine whether or not a material uncertainty exists
ii) Request management to make its assessment of the material uncertainty
iii) Evaluate management’s plans for future actions in relation to its going concern assessment, whether management’s plans are feasible
iv) Evaluate the reliability of the underlying
v) Request written representations from management regarding their plans
A.
i) ii) and iv)
B.
iii) iv) and v)
C.
ii) iii) and iv)
D.
i) ii) iii) iv) and v)
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