When Updating the Report on Prior Years' Financial Statements Presented

question 44

Multiple Choice

When updating the report on prior years' financial statements presented in comparative form,the auditors' responsibility for the prior years' financial statements is

• A)Limited to the previously issued report date.
• B)Extended to the date of the updated audit report.
• C)Limited to 30 days after the date of the prior years' financial statements.
• D)Extended to the updated report date only if information comes to the auditors' attention requiring modification of the previously expressed opinion.

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Definitions:

Sensory Systems

The parts of the nervous system responsible for processing sensory information from the environment, including sight, sound, taste, touch, and smell.

Cognitive Resources

Mental capabilities and capacities a person can draw upon for processing information and solving problems.

Problem Solving

The cognitive process of finding a solution to a complex situation or challenge.

Memory

The ability to store, retain, and subsequently retrieve information when needed.