A Client Has Changed Their Method of Valuing Inventory from FIFO

question 104

Multiple Choice

A client has changed their method of valuing inventory from FIFO to LIFO and the change has a material effect on the financial statements.If the auditor does not concur with the appropriateness of the change, the auditor should issue a(n) :

• A)disclaimer.
• B)adverse opinion.
• C)unqualified opinion.
• D)qualified opinion.

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Definitions:

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W-2 Form

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W-4 Form

A document used in the United States by employees to indicate their tax situation to their employer, determining how much federal income tax to withhold from their wages.

HIPAA Compliance Officer

A professional responsible for ensuring that an organization adheres to the Health Insurance Portability and Accountability Act's privacy, security, and breach notification rules.