An Auditor Concludes That There Is Substantial Doubt About an Entity's

question 40

Short Answer

An auditor concludes that there is substantial doubt about an entity's ability to continue as a going concern for a reasonable period of time.The entity's financial statements adequately disclose its financial difficulties.Under these circumstances,the auditor's report is required to include an emphasis-of-matter paragraph that specifically uses the phrase(s) $$\begin{array} { l c c } &&\text { "Possible }\\&\text { "Except for the effects } & \text { discontiruarce of the } \\&\text { of such adjustrnerts" } & \text { ertity's operations" } \\\\\text { A } & \text { Yes } & \text { Yes } \\\text { B. } & \text { Yes } & \text { No } \\\text { C. } & \text { No } & \text { Yes } \\\text { D. } & \text { No } & \text { No }\end{array}$$

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Definitions:

Electronic HRM (e-HRM)

The integration of information technology in the execution of human resources policies and procedures to streamline operations.

Social Networking

The use of dedicated platforms and websites to interact with other users, or to find people with similar interests to oneself.

HRM Activities

Various functions and tasks related to managing an organization's human resources, including hiring, training, benefits administration, and employee relations.

Company Leadership

The individuals or group responsible for making strategic decisions and guiding an organization towards its goals.