When Auditors Report on a Financial Audit Engagement in Accordance

question 56

Multiple Choice

When auditors report on a financial audit engagement in accordance with generally accepted government auditing standards (GAGAS) ,the basic report(s) include a

• A)disclaimer of opinion on financial statements,report on internal control,and report on compliance audit regarding laws and regulations.
• B)report (opinion)on financial statements,report on internal control,and report on compliance audit regarding laws and regulations.
• C)report on internal control and report(s)on efficiency and effectiveness of operations.
• D)report on compliance regarding laws and regulations and report(s)on achievement of program goal(s).

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Definitions:

Mutual Fund Managers

Professionals responsible for managing the investment portfolio of a mutual fund, making decisions about which securities to buy, hold, or sell.

Future Value

The value of a current asset at a specific date in the future based on an assumed rate of growth.

Interest Rate

The proportion of a total amount of money that is charged for borrowing it, usually represented as an annual rate.

Risk Averse

A description of individuals or entities that prefer to avoid risk and seek safer, more predictable outcomes.