The Standard Auditors' Report Refers to Standards of the PCAOB

question 41

Multiple Choice

The standard auditors' report refers to standards of the PCAOB and GAAP in which paragraph?

• A)Standards of the PCAOB: Scope only; GAAP: Opinion only
• B)Standards of the PCAOB: Introductory only; GAAP: Scope and opinion
• C)Standards of the PCAOB: Introductory and scope; GAAP: Opinion only
• D)Standards of the PCAOB: Introductory only; GAAP: All paragraphs

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Definitions:

Derived Company Objective

Strategic goals or intentions that are developed based on an analysis of a company's environment and internal capabilities.

CFA's Comprehensive Business Reporting Model Subcommittee

A subcommittee of the Chartered Financial Analyst Institute focused on developing and improving the standards and practices for comprehensive business reporting.

Intraperiod Tax Allocation

The allocation of income taxes within a single financial reporting period among continuing operations, discontinued operations, extraordinary items, and prior period adjustments.

Interperiod Tax Allocation

An accounting technique that aims to match taxes paid with the revenues causing the tax, over periods affected by timing differences in recognizing certain items for tax and accounting purposes.