Auditors must employ independent geologists to evaluate management's estimate of the reserves contained in a new discovery of natural resources.

Question

Quizplus · Accepted Answer

Auditors rely on the expertise of independent geologists to evaluate the accuracy of management's estimates of the reserves contained in a new discovery of natural resources. This is to ensure that the financial statements fairly present the value of the company's natural resources and that investors are not misled.

Auditors Must Employ Independent Geologists to Evaluate Management's Estimate of the Reserves