A CPA Has Conducted an Audit of the Financial Statements

question 29

Multiple Choice

A CPA has conducted an audit of the financial statements of an entity that received federal financial assistance and had one program that qualified as a major program. The CPA's responsibility related to reporting on compliance for this entity is to

• A) Issue a report on compliance related to the entity.
• B) Issue an opinion on compliance related to the entity.
• C) Issue a report on compliance related to the entity and a report on compliance related to the federal program(s).
• D) Issue a report on compliance related to the entity and an opinion on compliance related to the federal program(s).

---

Definitions:

Charisma

A personal quality that enables an individual to attract, inspire, and influence others through their presence and communication style.

Ethics

The philosophical study of morality.

Normative Theory

A framework that describes how things should be or how societal norms and standards guide individual actions and institutional practices.

Leader Position Power

The authority and influence possessed by a leader, derived from their official status or position within an organization.