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

question 4

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.

---

Definitions:

Emotional Balance

A state of stability in one's feelings, enabling rational thinking and effective handling of life situations.

Transactional Analysis

A psychoanalytic theory and method of therapy wherein social transactions are analyzed to understand behavior.

Emotional Pattern

The recurring or habitual way in which a person experiences and expresses emotions in various situations.