B receive a waiver to report on the us entity from

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Unformatted text preview: with "AICPA Standards," not SSARS. Choice "c" is incorrect. The report does not make reference to "opinion-shopping," nor does it state that the evaluation is hypothetical. Choice "d" is incorrect. The report's use is restricted to "specified parties," which may include parties other than management (e.g., the board of directors). Also, the preparers of the financial statements and the reporting accountant should consult with the entity's continuing accountant. 23. CPA-04630 A U.S. entity prepares its financial statements in conformity with accounting principles generally accepted in another country. These financial statements will be included in the consolidated financial statements of its non-U.S. parent. Before reporting on the financial statements of the U.S. entity, the auditor practicing in the U.S. should: a. Notify management of the U.S. entity that the auditor is required to disclaim an opinion on the financial statements. b. Receive a waiver to report on the U.S. entity from the appropriate accountancy authority in the other country. c. Obtain written representations from managem...
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