What is an auditor's responsibility for supplementary information required by the GASB that is placed outside the basic financial statements?

Question

Quizplus · Accepted Answer

Choice "C" is correct. With respect to supplementary information required by the GASB that is placed outside the basic financial statements, the auditor should apply limited procedures to the information (to determine that it is consistent with the basic audited financial statements) and report deficiencies in or the omission of the information (via an explanatory paragraph). Choice "A" is incorrect. If the information is labeled "unaudited," a disclaimer generally would not be necessary. Choice "B" is incorrect. The explanatory paragraph is only added if the supplemental information required by the GASB is deficient, omitted entirely, if the auditor cannot complete procedures, or if there is doubt about conformity with guidelines. Choice "D" is incorrect. The supplementary information required by the GASB is not required to be audited since it is placed outside of the basic financial statements; however, an opinion is permitted.

What Is an Auditor's Responsibility for Supplementary Information Required by the GASB