Non Public Companies

question 44

Multiple Choice

Non public companies:

• A) do not have to be audited.
• B) are not required to have an audit of their ICFR.
• C) follow different standards than public companies.
• D) present little, if any, risk to auditors.

Identify the requirements for consolidated financial statements.

Account for dividends and their effects on investments.

Understand the process and criteria for securitization of receivables.

Recognize the classification and accounting treatment of passive investments.

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Definitions:

Public Relations

The practice of managing and disseminating information from an individual or organization to the public to influence their perception.

Stakeholders

Individuals or groups who have an interest or stake in the success and decisions of an organization, project, or venture.

Annual Reports

Comprehensive reports issued by a company at the end of the fiscal year, detailing its financial status, operations, and corporate activities.

Public Relations

The professional maintenance of a favorable public image by a company, organization, or famous person.