Further Possible Misstatements Are Those That Could Exist Over and Above

question 15

True/False

Further possible misstatements are those that could exist over and above the total of known and likely misstatements because of the fundamental limitations of auditing.

---

Definitions:

Liabilities

Debts or financial responsibilities a business has to people or entities outside of it.

Increase Net Income

Actions or strategies aimed at raising the amount of profits a company keeps after deducting all expenses, taxes, and costs.

Stockholders' Equity

The remaining interest in a company's assets after all liabilities have been subtracted, also referred to as shareholders' equity.

Unearned Revenue Account

A liability account that records payments received for goods or services not yet delivered or performed.