Question

Hall accepted an engagement to audit the year 1 financial statements of XYZ Company. XYZ completed the preparation of the year 1 financial statements on February 13, year 2 and its auditors began the fieldwork on February 17, year 2. Hall completed gathering sufficient appropriate evidence on March 24, year 2; Hall's report and XYZ's financial statements were released on March 28, year 2. The written representations normally would be dated?

1) February 13, year 2
2) February 17, year 2
3) March 24, year 2
4) March 28, year 2

Answer 1

The written representations in an audit are usually dated the same day the auditor completes gathering sufficient appropriate evidence. In the provided scenario, this date would be March 24, year 2.

Step-by-step explanation:

When an auditor completes the audit of a company's financial statements, the written representations—also known as the management representation letter—should be dated the same date when the auditor has obtained sufficient appropriate evidence to support the auditor's opinion on the financial statements. In the scenario provided, Hall completed gathering this evidence on March 24, year 2. Therefore, the written representations are typically dated as of the last day of the auditor's fieldwork, which in this case would be March 24, year 2.