Audits of governments' financial statements are performed to determine if the financial statements are fair and in accordance with generally accepted accounting principles,but not to determine if there is compliance with laws and regulations.

Question

Quizplus · Accepted Answer

In audits of governments conducted in accordance with Government Auditing Standards (GAS) (the yellow book) must also include tests of compliance with laws and regulations. This question is also false for governments audited only under AICPA GAAS.

Audits of Governments' Financial Statements Are Performed to Determine If