Under PCAOB Standards

question 169

Multiple Choice

Under PCAOB standards,

• A) the standard unmodified opinion audit report is referred to as an unqualified opinion audit report.
• B) the scope paragraph states that the financial statements are the responsibility of management.
• C) internal controls of a public company must be audited every five years.
• D) the scope paragraph is the same as the scope paragraph for private companies.

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Definitions:

Economic Rents

Extra earnings above the minimum level required to keep a resource in its current use, often associated with scarce resources or monopolistic markets.

Non-Union Workers

Employees who are not members of a labor union and typically do not receive the collective bargaining benefits that unionized workers do.

Wage Discrimination

The practice of paying different wages to employees for the same type of work based on race, gender, age, or other irrelevant factors.

Private-Sector Differential

The differences in wages, working conditions, and employment benefits between jobs in the private sector versus those in the public sector.