11 An audit report for a private client indicates that the a

1.1. An audit report for a private client indicates that the audit was performed in accordance with a. Generally Accepted Auditing Standards b. Generally Accepted Accounting principles c. Standards of the PCAOB d. Generally accepted principles of the PCAOB f.2. An audit report for a publiely tradede client indicates that the audit was performed in accordance with a. Generally Accepted Auditing Standards b. Generally Accepted Accounting principles c. Standards of the PCAOB d. Generally accepted principles of the PCAOB .3. An audit report for a publicly traded client indicates that the statements conform with a. Generally Accepted Auditing Standards b. Generally Accepted Accounting Principles c. Standards of the PCAOB d. Generally accepted principles of the PCAOB 4 D

Solution

Answer1- (a)

While doing audit, auditor should conform that financial statements are free from material mistatements and are in accordance with generally accepted accounting standards.

Answer 2- (c)

PCAOB is directed by the Sarbanes-Oxley Act, 2002. This act came into existence around 2001 with the bankruptcy of Enron. It requires heavy reporting requirements for publicly trading companies.

Answer 3- (b)

An auditor opines whether a comapny\'s financial statements comply with generally accepted accounting principles.