CPA Firm a Has Performed Most of the Audit of Consolidated

question 4

Multiple Choice

CPA Firm A has performed most of the audit of Consolidated Company's financial statements and qualifies as the group auditor.CPA Firm B did the remainder of the work.Firm A wishes to assume full responsibility for Firm B's work.Which of the following statements is correct?

• A)Such assumption of responsibility violates the profession's standards.
• B)In such circumstances,when appropriate requirements have been met,Firm A should issue a standard unmodified opinion on the financial statements.
• C)In such circumstances,when appropriate requirements have been met,Firm A should issue an unmodified opinion on the financial statements but should make appropriate reference to Firm B in the audit report.
• D)CPA firm A should normally qualify its audit report on the basis of the scope limitation involved when another CPA firm is involved.

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Definitions:

Aversive Stimulus

A stimulus that is unpleasant or painful, leading to avoidance behavior.

Delay

The period between the onset of the conditioned stimulus and the onset of the unconditioned stimulus in the conditioning process.

Aversive Stimulus

A stimulus that is unpleasant or painful, often used to modify behavior through avoidance learning or negative reinforcement.

Negative Reinforcement

The process of strengthening a behavior by removing or avoiding a negative outcome or unpleasant stimulus as a result of the behavior.