Which of the following statements is correct?

Which of the following statements is correct?

a. A letter of representation is documentation of management’s acceptance of responsibility for the financial statements and is deemed to be reliable evidence.
b. A letter of representation is not deemed to be reliable evidence because of the potential incompetence of management.
c. A letter of representation is not deemed to be reliable evidence because of the lack of independence of the preparers.
d. None of the above is correct.


Learn More Multiple Choice Question :