In Which of the Following Circumstances May Auditors Issue the Standard

question 65

Multiple Choice

In which of the following circumstances may auditors issue the standard (unmodified) report on the entity's financial statements?

• A)The entity changed accounting principles having an immaterial effect on the entity's financial position, results of operations, and cash flows.
• B)The auditors wish to emphasize a matter regarding the financial statements.
• C)The auditors reference component auditors who examined a subsidiary of group financial statements.
• D)The auditors have not been able to audit a substantial portion of the balance sheet because of a circumstance-imposed scope limitation.

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Definitions:

Cognitive-Behavioral Therapy

Cognitive-Behavioral Therapy is a form of psychotherapy that treats problems by modifying dysfunctional emotions, behaviors, and thoughts.

Psychodynamic Therapy

A therapeutic approach aimed at revealing and resolving unconscious conflicts, often through exploring past experience and relationships.

Dimensional Approach

A method of understanding mental health conditions along a continuum rather than as distinct categories, suggesting a range of severity for symptoms.

Dichotomous Classification

The division or classification of items into two distinct, mutually exclusive categories.