While Auditing the Financial Statements of a Nonissuer, a CPA

question 38

Multiple Choice

While auditing the financial statements of a nonissuer, a CPA was requested to change the engagement to a review in accordance with Statements on Standards for Accounting and Review Services (SSARS) because of a scope limitation. If the CPA believes the client's request is reasonable, the CPA's review report should:

• A) Refer to the scope limitation that caused the change. II. Describe the auditing procedures that have already been applied.
• B) I only.
• C) II only.
• D) Both I and II.
• E) Neither I nor II.

---

Definitions:

Oral

Pertaining to the mouth or taken through or applied in the mouth, often used in the context of medications or narrations.

Rectal

Related to the rectum, the final section of the large intestine, terminating at the anus.

Pasteurization

A heat treatment process applied to food and drinks to kill harmful microorganisms and extend shelf life without significantly altering the taste or nutritional value.

Sterilizing (Autoclave)

A process of killing all microorganisms, including spores, on tools or equipment by using high pressure and steam in a device known as an autoclave.