Question: a. Explain the two main reasons for AmTrusts restatement. Why do you think that management judged these issues material, and therefore deemed it necessary to

a. Explain the two main reasons for AmTrust’s restatement. Why do you think that management judged these issues material, and therefore deemed it necessary to issue the restatements?

b. The restatement led to corrections of the company’s three prior years, as well as the first three quarters of results for 2016. What does a restatement imply about financial reporting quality? What does a restatement imply about audit quality?

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