Before Performing a Review of a Nonpublic Entity's Financial Statements

question 14

Multiple Choice

Before performing a review of a nonpublic entity's financial statements, an accountant should:

• A) apply analytical procedures to provide limited assurance that no material modifications should be made to the financial statements.
• B) obtain a sufficient level of knowledge of the accounting policies of the industry in which the entity operates.
• C) inquire whether management has omitted substantially all of the disclosures required by generally accepted accounting principles.
• D) complete a series of inquiries concerning the entity's procedures for recording, classifying, and summarising transactions.

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Definitions:

Standard Of Living

A measure of the wealth, comfort, material goods, and necessities available to a person, group, or society.

Hunter-Gatherers

Societies or groups of people who subsist by hunting, fishing, and gathering wild foods, rather than farming or domesticating animals.

Environmental Impact

The effect human activities have on the environment, including natural resources, wildlife, and ecosystems.

Canada

A country located in the northern part of North America, known for its vast landscapes, multicultural populations, and as the second largest country by total area.