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Unformatted text preview: We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion , the financial statements referred to above present fairly , in all material respects, the financial position of ABC Company as of December 31, 2006, and the results of its operations and its cash flows for the years then ended in conformity with generally accepted accounting principles. Smith & Company February 20, 2007 Audit risk, materiality; GAAS v. Judgment...
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- Fall '08
- External auditor, Arens, Elder Beasley