Key CoPlans to Present Comparative Financial Statements for the Years Ended

question 82

Multiple Choice

Key Co.plans to present comparative financial statements for the years ended December 31,2010 and 2011,respectively.Smith,CPA,audited Key's financial statements for both years and plans to report on the comparative financial statements on May 1,2012.Key's current management team was not present until January 1,2011.What period of time should be covered by Key's management representation letter?

• A) January 1, 2010 through December 31, 2011.
• B) January 1, 2010 through May 1, 2012.
• C) January 1, 2011 through December 31, 2011.
• D) January 1, 2011 through May 1, 2012.

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Definitions:

Sex Hormones

Chemical substances that serve as messengers affecting the function of specific target organs responsible for secondary sex characteristics and reproductive activity.

Steroids

A class of lipids that have a basic structure consisting of four linked carbon rings, and include many hormones, alkaloids, and vitamins.

Terpenes

A large and diverse class of organic compounds, produced primarily by plants, that are the major components of essential oils.

Isoprene

A common organic compound with the formula C5H8, used as the monomer unit in the natural synthesis of rubber and other terpenes.