An Auditor Is Not Required to Inform the Reader of an Audit

question 73

True/False

An auditor is not required to inform the reader of an audit report when there has been a change in accounting principles that materially affects the financial statements.

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Definitions:

Output

The total amount of goods or services produced by a firm or country.

Demand

How much of a good or service that consumers can and want to buy, influenced by differing price levels.

Economic Profit

The difference between total revenues and total costs, including both explicit and implicit costs, representing the surplus generated from economic activities.

Technological Change

A change in the methods, equipment, and software used by a society, improving efficiency, productivity, and quality of life.