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This document serves as a formal representation from the management of an entity to its auditors concerning the financial statements of the consolidated and parent authority. It outlines the responsibilities of management under relevant statutory authorities, details regarding financial records, compliance with laws and regulations, and disclosures related to internal controls, fraud, and other contingencies. The letter confirms the accuracy and completeness of the financial information...
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What is letter of representations?
A letter of representations is a formal document issued by management to external auditors, confirming the accuracy of financial statements and the information provided during the audit process.
Who is required to file letter of representations?
Typically, the management of a company is required to file the letter of representations, especially those in charge of financial reporting and corporate governance.
How to fill out letter of representations?
To fill out a letter of representations, management must address the document to the auditors, include relevant dates, provide accurate information regarding financial statements, and confirm the validity of disclosures.
What is the purpose of letter of representations?
The purpose of the letter of representations is to provide auditors with written confirmations from management regarding the accuracy and completeness of the financial information presented.
What information must be reported on letter of representations?
The letter must report information such as the acknowledgment of responsibility for financial statements, assertions regarding accounting policies, and confirmations of the accuracy of provided data.
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