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If a Client Has Violated Federal Tax Laws

Question 60

Multiple Choice

If a client has violated federal tax laws,


A) the auditor must notify the IRS.
B) and the amount is significant, the auditor should communicate with those charged with governance.
C) the noncompliance generally will not impact the financial statements.
D) the auditor does not need to evaluate the effects of the noncompliance on other aspects of the audit.

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