Required: a. In an audit of financial statements, in what circumstances is the auditor required to..

Required:
a. In an audit of financial statements, in what circumstances is the auditor required to obtain a management representation letter? What are the purposes of obtaining the letter?
b. To whom should the representation letter be addressed, and when should it be dated? Who should sign the letter, and what would be the effect of his or her refusal to sign the letter?
c. In what respects may an auditor’s other responsibilities be relieved by obtaining a management representation letter?

 

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