When Do Individuals and Organizations Typically Need Assurance Services

question 19

Multiple Choice

When do individuals and organizations typically need assurance services?

• A) usually only when organizations obtain debt or other loans
• B) for five years from the start of an organization until debt is retired
• C) only when historical data, such as financial information, needs to be audited
• D) on an ongoing basis, as demand for forward-looking information increases

---

Definitions:

Bass's Transactional

A theory of leadership focusing on the exchanges between leaders and followers, where leaders provide rewards or punishments based on the performance of the followers.

Transformational Leadership Theory

A leadership approach that causes change in individuals and social systems, aiming to create a vision for followers and guiding changes through inspiration.

Charisma

A compelling attractiveness or charm that can inspire devotion or enthusiasm in others.

Personal Quality

Characteristics or attributes that define an individual’s nature, often influencing their behavior and interactions with others.