When Reporting on Financial Statements That Include Only Summarized Totals

question 81

Multiple Choice

When reporting on financial statements that include only summarized totals of account balances,the auditors' conclusion should state whether the information in the summary financial statements

• A)Is complete with respect to disclosures required by the SEC.
• B)Is fairly stated,in all material respects,in accordance with generally accepted accounting principles.
• C)Is consistent,in all material respects,with the prior years' summary financial statements.
• D)Is fairly stated,in all material respects,in relation to the complete financial statements.

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Definitions:

Attention

The cognitive process of selectively concentrating on a discrete aspect of information, whether deemed subjective or objective, while ignoring other perceivable information.

Retention

The ability to keep, hold, or maintain something in the mind over time, especially information and memories.

Latent Learning

Learning that occurs without obvious reinforcement and is not demonstrated until there is motivation to do so.

Unreinforced Learning

Learning that occurs without any specific feedback or reinforcement for responses or behaviors.