An Adjusting Event Is One That

question 38

Multiple Choice

An adjusting event is one that:

• A) Occurred before the auditor signed the audit report.
• B) Provides additional evidence of or information about conditions that existed at the reporting date.
• C) Occurs after reporting date and relates to impacts that will occur before the time of completion.
• D) Provides additional evidence of or information about conditions that existed at the time of completion.
• E) None of the given answers.

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Definitions:

Group Technology Codes

A classification system used in manufacturing to group parts into families based on similarities in design or manufacturing process.

Repetitive Layout

refers to a manufacturing layout design where equipment or workstations are organized according to the sequence of operations required to produce a particular product, optimizing for efficiency in high-volume production.

Unit Costs

The cost incurred to produce, store, or purchase one unit of a product or service.

Customizing

Using warehousing to add value to a product through component modification, repair, labelling, and packaging.