EBK AUDITING+ASSURANCE SERVICES
EBK AUDITING+ASSURANCE SERVICES
17th Edition
ISBN: 9780135171219
Author: ARENS
Publisher: PEARSON CO
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Chapter 8, Problem 18RQ
To determine

Indicate the qualitative factors that Person X should consider while deciding whether misstatements may be material.

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1. Bob is issued with a notice of assessment. What does the Commissioner rely on when issuing a notice of assessment?a. Taxpayer's honesty.b. Asset register.c. Taxpayer's income tax return.d. Material collected from auditing an accountant.
Jack made a mathematical mistake in computing her tax liability. Which audit program will likely catch Jack's mistake? A. DIF system B. Mathematical correction C. Document perfection D. Information matching E. None of these
How do you evaluate whether the rates calculated are too high or too low based on the financial statements?
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