An Accountant's Communication on the Financial Statements in a Compilation

question 42

Multiple Choice

An accountant's communication on the financial statements in a compilation engagement would NOT include a statement that ________.

• A) the statements may not be appropriate for the purposes of users
• B) the financial statement information has been compiled
• C) a compilation engagement consists primarily of inquiries of company personnel and analytical procedures applied to financial data
• D) financial statements have not been audited or reviewed and the accountant did not attempt to verify accuracy or completeness.

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Definitions:

Big Data

Big Data refers to extremely large data sets that may be analyzed computationally to reveal patterns, trends, and associations, especially relating to human behavior and interactions.

Volume

The quantity or amount of something, often used to describe the size, capacity, or mass of an object or the loudness of a sound.

Velocity

The speed of something in a given direction, often used in physics to describe motion but can extend to describe the pace of change in various contexts.

Variety

The quality or state of being different or diverse; the absence of uniformity or monotony.