When unaudited financial statements of a nonissuer are presented in comparative form with audited financial statements in the subsequent year, the unaudited financial statements should be clearly marked to indicate their status and:

Question

Quizplus · Accepted Answer

Choice "D" is correct. When audited financial statements are presented in comparative form with unaudited financial statements from a prior year, the auditor should either reissue his or her report on the unaudited statements or include a separate paragraph in the current year report describing the responsibility assumed for the unaudited statements. Choices "A", "B", and "C" are incorrect, per above Explanation.

When Unaudited Financial Statements of a Nonissuer Are Presented in Comparative