An Auditor May Report on Summary Financial Statements That Are

question 138

Multiple Choice

An auditor may report on summary financial statements that are derived from a complete set of audited financial statements only if the auditor

• A)expresses an unmodified opinion on the audited financial statements from which the summary financial statements are derived.
• B)indicates whether the information is fairly stated in all material respects in relation to the complete financial statements.
• C)determines that the summary financial statements include all the disclosures necessary for the complete set of financial statements.
• D)presents the summary financial statements in comparative form with the prior years' summary financial statements.

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Definitions:

60 Hertz

A frequency of 60 cycles per second, commonly used as the standard frequency of AC electrical power in several countries, including the United States.

Single-Phase Powerlines

Electrical power supply lines that deliver alternating current with a single waveform, commonly used in homes and small businesses.

Triac Light Dimmer

A type of switch used to control the brightness of a light, by altering the timing of a triac to regulate the amount of power reaching the light.

Telecommunication Cables

Cables used for transmitting information via electrical signals or light pulses over distances.