Question

Which of the following is not required by generally accepted auditing standards?

1) written representations
2) attorney letter
3) management letter
4) engagement letter

Answer 1

A management letter is not required by generally accepted auditing standards, whereas written representations, attorney letters, and engagement letters are part of the formal audit documentation process.

Step-by-step explanation:

The item in the list that is not required by generally accepted auditing standards (GAAS) is a management letter. While written representations, an attorney letter, and an engagement letter are commonly requested during an audit as part of the documentation process, the management letter is not mandated.

The management letter typically consists of the auditor's findings and recommendations based on the audit but isn't part of the formal requirements laid out by GAAS. Instead, it is a courtesy document provided to management detailing potential improvements, inefficiencies, or issues that were observed during the audit process.