If it would be appropriate to confirm capital stock,the auditor would obtain the confirmation from
A) Management.
B) The board of directors.
C) Stockholders.
D) An independent registrar.

Question

Quizplus · Accepted Answer

If an auditor needs to confirm capital stock, they would obtain confirmation from an independent registrar. An independent registrar maintains a record of stockholders and the number of shares each stockholder owns, making them the best source for verifying capital stock information. Management, the board of directors, and stockholders may not have access to complete and accurate records of capital stock, and therefore, may not be the appropriate source for confirmation.

If It Would Be Appropriate to Confirm Capital Stock,the Auditor