The GAO standards of reporting for governmental financial audits incorporate the AICPA standards of reporting and prescribe supplemental standards to satisfy the unique needs of governmental audits.Which of the following is a supplemental reporting standard for audits in accordance with Government Auditing Standards?
A)Reports on compliance with laws and regulations and internal control.
B)Material indications of illegal acts should be reported in a document with distribution restricted to senior officials of the entity audited.
C)Instances of abuse,fraud,mismanagement,and waste should be reported to the organization with legal oversight authority over the entity audited.
D)All privileged and confidential information discovered should be reported to the senior officials of the organization that arranged for the audit.

Question

Quizplus · Accepted Answer

The supplemental reporting standard for audits in accordance with Government Auditing Standards includes reporting on compliance with laws and regulations and internal control. This is in addition to the AICPA standards and addresses the specific requirements and concerns relevant to governmental audits.

The GAO Standards of Reporting for Governmental Financial Audits Incorporate