Multiple Choice the statements may not be appropriate for the purposes of users the financial statement information has been compiled Financial statements have not been audited or reviewed and the accountant did not attempt to verify accuracy or completeness.

Multiple Choice the statements may not be appropriate for the purposes of users the financial statement information has been compiled Financial statements have not been audited or reviewed and the accountant did not attempt to verify accuracy or completeness.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: Auditors are not responsible for accounting estimates with respect toa. Making the estimates.b.…

A: Select the accounting policies and accounting estimates is the responsibility of the management to .…

Q: Bid rigging and kickbacks create unfair and uncompetitive bidding processes which may result in…

A: we will explore control activities aimed at addressing the risk of bid rigging and kickbacks in the…

Q: When conducting analytical audit

A: auditor always looking for account relationship that do not appear logical but rather absolute…

Q: A company must decide between scrapping or reworking units that do not pass inspection. The company…

A: Step 1: Calculation of incremental income.Scrap income = $52,800Rework income = Revenue - Cost=…

Q: The Auditor's Report

A: The auditor's report typically includes a statement of the responsibilities of the auditor and…

Q: A financial statement user can not gain a complete understanding of the financial statements…

A: A Financial Statement is the Statement which company prepares to show their business activities and…

Q: t is generally acceptable for analytical procedures to be the only audit procedure used to test…

A: solution concept analytical procedure Analytical procedure used as a audit procedure…

Q: What are interim reports? Why is a complete set of financial statements often not provided with…

A: Interim report: When the financial results are published for the year shorter than the fiscal year,…

Q: In IFRS, the conceptual framework indicates appropriate accounting when a more specific accounting…

A: The International Financial Reporting Standards (IFRS) constitute a globally consistent,…

Q: Explain the concept of hindsight in relation to changes in accounting estimates and errors. How…

A: The concept of hindsight in accounting relates to the situation where subsequent information becomes…

Q: The use of the cumulative effect method to account for a change in accounting principle violates the…

A: Accounting principles are the set of rules which define the way accounts should be prepared and…

Q: Which analytical procedures are most important in verifying notes payable? Which types of…

A: It refers to the evaluation of financial information via identifying and analyzing of plausible…

Q: Misstatements in the financial statements can result from errors or fraud and may consist of any of…

A: EXPLANATION:- A misstatement causes the financial statements to be not in accordance with the…

Q: None

A: Financial statements are a critical tool for investors and other stakeholders to understand a…

Q: Information is considered material if: it would have a bearing on decisions of those who use…

A: While preparing the books of accounts i.e. the financial statements the company needs to disclose…

Q: Financial reports of the lowest level of quality refl ect:A . fi ctitious events.B . biased…

A: Financial reports are reports issued by an organization in order to highlight their financial…

Q: 9) Which of the following statements is FALSE? A) Financial accounting information only serves a…

A: Financial statement includes the preparation of the balance sheet, income statement, and the…

Question

49
00:40:19
An accountant's communication on the financial statements in a compilation engagement would NOT include a statement that
Multiple Choice
the statements may not be appropriate for the purposes of users
the financial statement information has been compiled
Financial statements have not been audited or reviewed and the accountant did not attempt to verify accuracy or
completeness.
a compilation engagement consists primarily of inquiries of company personnel and analytical procedures applied to financial

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1: Introduction:

VIEW

Step 2: Correct option and explanation:

VIEW

Solution

VIEW

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Question 15 As Review of Financial Statements under SSARS is not considered an audit engagement the accountant need not be independent. Answers: True False
true or false. No material misstatements are allowed if financial statements are to called fairly presented?
When financial statements are affected by a material departure from generally accepted accounting principles, the auditors should: Withdraw from the engagement. Issue an unmodified opinion with a basis for modification paragraph. Issue an "except for" qualification or a disclaimer of opinion. Issue an "except for" qualification or an adverse opinion.
Question 10 When an auditor is reviewing an audit client's allowance for doubtful accounts the auditing is assessing which management assertion about the client's accounts receivables. Existance Completeness Valuation Rights and obligations
A review service engagement involving unaudited financial statements involvesa. More work than a compilation and an audit.b. Less work than an audit but more work than a compilation.c. Less work than a compilation but more work than an audit.d. More work than an audit but less work than a compilation.
Auditors commonly allocate materiality to balance sheet accounts rather than income statement accounts because most income statement misstatements have a effect on the balance sheet. Select one: a. equal b. undetermined C. increased d. reduced O O O