PCAOB Audit Standard No.2201 Requires That ________

question 123

Multiple Choice

PCAOB Audit Standard No.2201 requires that ________.

• A)an auditor issues a qualified opinion on all accounts that were not tested in their entirety
• B)the audit partner should solely make the determination as to whether any material weaknesses have been identified as part of the audit
• C)all companies with a market capitalization of $75,000,000 or more file documentation with the Securities and Exchange Commission (SEC) detailing all deficiencies identified as part of the audit
• D)in an audit of ICFR, material weaknesses are reported to the public in the auditor report on ICFR

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Definitions:

Balance Sheet

A financial statement that summarizes a company's assets, liabilities, and shareholders' equity at a specific point in time, providing a snapshot of its financial condition.

Sarbanes-Oxley Act

The Sarbanes-Oxley Act is a U.S. federal law enacted in 2002 to protect investors by improving the accuracy and reliability of corporate disclosures.

Auditing Services

Professional services provided by accountants or auditors to examine and verify a company's financial statements and other financial info to ensure accuracy and compliance with accounting standards and regulations.

Registered Public Accounting Firm

This refers to an accounting firm registered with the Public Company Accounting Oversight Board (PCAOB), authorized to audit public companies.