One of the Key Differences Between a Financial Statement Audit

question 45

Multiple Choice

One of the key differences between a financial statement audit and a value for money (VFM) audit is ________.

• A)in most cases,VFM audits have mandates established through legislation or contracts
• B)in a financial statement audit,the auditor has to use his or her professional judgment to redefine the broad mandate in specific terms with specific objectives
• C)in a VFM audit,standards are defined by professions and associations
• D)in a financial statement audit,sufficient appropriate evidence must be obtained to afford a reasonable basis to support the content of the auditor's report

---

Definitions:

Horizontal Merger

A business consolidation that occurs between companies operating in the same industry, often aiming to increase market share, reduce competition, or achieve economies of scale.

Staples

Basic or essential items that are regularly used and replenished, such as food, clothing, and household goods.

Office Depot

A retail company specializing in selling office supplies, technology products, and furniture to consumers and businesses.

Conglomerate Merger

A type of merger where two or more companies in unrelated business activities or industries combine.