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Necessity of Transactions with Related Parties
Transactions along with related parties are essential for several reasons:
(a) Several financial scandals including related parties frequently show in the headlines;
(b) A fair and important view of the entity's conditions may not be specified unless full disclosure is made;
(c) Statutory utilization must be compiled along with e.g. loans for directors.
Auditor performs analytical work only at the end of the audit. Ans: I disagree with the statement because: i) Analytical work/procedures are used to obtain an understanding o
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