PCAOB Guidance Does Not Identify Which of the Following Situations

question 24

Multiple Choice

PCAOB guidance does not identify which of the following situations as one in which the auditor will modify the audit report on ICFR effectiveness?

• A)When there is a restriction on the scope of the engagement.
• B)When there is other information contained in management's annual report on ICFR.
• C)When elements of management's annual report on internal control are incomplete or improperly presented.
• D)When the annual report includes a copy of the annual certification pursuant to Section 302 of the Sarbanes-Oxley Act.

---

Definitions:

Demand Schedule

A table that shows the quantity of a good or service that consumers are willing to buy at each price point.

Total Revenue

The total amount of money generated by a business from the sale of its goods or services before any costs or expenses are subtracted.

Marginal Cost

The supplementary cost derived from creating an additional good or service unit.

Pure Monopolist

An entity that is the sole provider of a product or service in a market, with no close substitutes, allowing for control over prices.