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Frontenac Construction, your audit client, is a construction company. In the initial planning phase ...

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Frontenac Construction, your audit client, is a construction company. In the initial planning phase ...

Frontenac Construction, your audit client, is a construction company. In the initial planning phase of the audit, you identified that it has many contracts with severe non-performance clauses if any of the current constructions are not completed on the dates set in the contracts over the next three years. As the auditor, you would set the inherent risk for sales and penalties as
A) high.
B) moderate.
C) low.
D) cannot be determined until more procedures are performed.

Textbook

Auditing: The Art and Science of Assurance Engagements, Canadian Edition

Edition: 12^th

Authors: Arens, Elder, Beasley, Splettstoesser

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eFishie Author

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This helped my grade so much Perfect

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