When Reporting on Comparative Financial Statements Where the Financial Statements

question 58

Multiple Choice

When reporting on comparative financial statements where the financial statements of the prior year have been examined by a predecessor auditor whose report is not presented,the successor auditor should make

• A) no reference to the predecessor auditor.
• B) reference to the predecessor auditor only if the predecessor auditor expressed a qualified opinion.
• C) reference to the predecessor auditor only if the predecessor auditor expressed an unqualified opinion.
• D) reference to the predecessor auditor regardless of the type of opinion expressed by the predecessor auditor.

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Definitions:

Poverty

The state of being extremely poor, where individuals or communities lack the financial resources to meet basic living needs.

Highest Quintile

The top 20% of a population in a distribution, typically used in referencing income or wealth distributions, representing the segment with the highest levels thereof.

Incomes

The money or other forms of payment received, typically on a regular basis, for work or through investments.

Incomes

Refers to the money received, especially on a regular basis, for work or through investments.