Which of the Following Statements Best Explains an Unmodified Report

question 33

Multiple Choice

Which of the following statements best explains an unmodified report opinion?

• A)The financial statements contain a departure from GAAP.
• B)The auditor was unable to complete the work necessary to form a complete opinion.
• C)The auditor was not aware of any reasons not to believe the statements are correct.
• D)Based on the evidence obtained,the auditor believes the statements are free of material error.

---

Definitions:

F Statistic

A ratio used in statistics to compare the variability between group means to the variability within groups, central in conducting ANOVAs.

Hypotheses

Plural of hypothesis; propositions or sets of propositions put forth to explain certain phenomena, subject to verification or falsification through testing.

Forbes 500 List

An annual ranking by Forbes magazine of the 500 largest corporations in the U.S. based on their revenue.

Partial ANOVA Table

A summary table that shows the results of an ANOVA test, including only a subset of the complete information typically presented.