Which of the following kinds of information is not included within the scope of a financial statement audit of a state or local government?
A) Governmental activities financial information.
B) Management's discussion and analysis (MD&A).
C) Major funds financial information.
D) Business-type activities financial information.

Question

Quizplus · Accepted Answer

Management's discussion and analysis (MD&A) is not included within the scope of a financial statement audit of a state or local government. The MD&A is considered supplementary information and is not required to be audited by the external auditor. However, it may be subject to a separate audit or review engagement. The other options listed, A, C, and D, are all part of the financial statements and required to be audited.

Which of the Following Kinds of Information Is Not Included