If the auditor is performing substantive tests at an interim date, _______.
A)the auditor does not need to perform year-end testing procedures
B)the auditor must perform steps to update their conclusion to the date of the financial statements
C)the auditor must perform steps to update their conclusion for the next fiscal year of the firm
D)this procedure should first be approved by management due to the extra cost involved

Question

Quizplus · Accepted Answer

If the auditor is performing substantive tests at an interim date, they still need to perform year-end testing procedures and update their conclusion to the date of the financial statements. This is necessary to ensure that the financial statements are materially correct and reliable for the users. Management approval is not required for this procedure.

If the Auditor Is Performing Substantive Tests at an Interim