The acid-test ratio is also known as the quick ratio

An auditor most likely obtains an understanding of a new client to

A. Make constructive suggestions concerning improvements to the client's internal control. B. Develop an attitude of professional skepticism concerning management's financial statement assertions. C. Evaluate whether the aggregation of known misstatements causes the financial statements taken as a whole to be materially misstated. D. Identify areas of audit emphasis.

If a manager sees a potential outlier in the data, he or she should first determine whether the data is correct

Indicate whether the statement is true or false