A government's discussion of how it defined the reporting entity is presented in which of the following places within the Comprehensive Annual Financial Report?
A)the auditor's report
B)management's discussion and analysis (MD&A)
C)the notes to the financial statements
D)required supplementary information (RSI)

Question

Quizplus · Accepted Answer

The notes to the financial statements typically provide information on the reporting entity, including how it has been defined by the government. The auditor's report and required supplementary information (RSI) generally do not address this topic, while management's discussion and analysis (MD&A) may provide some background on the entity but is not the primary source for defining it.

A Government's Discussion of How It Defined the Reporting Entity