To verify the amounts included in the consolidated financial statements, the auditor must
obtain and verify the financial statements of each group entity. Where the auditor is not also
the auditor of another group entity, consideration must be given to the extent of
reliance that may be placed on the work of the other auditor.

Question

Quizplus · Accepted Answer

This statement is true as it is a standard procedure for auditors to obtain and verify financial statements of all group entities to ensure the accuracy of consolidated financial statements. If the auditor is not also the auditor of another group entity, they may rely on the work of the other auditor to some extent, but the level of reliance must be evaluated based on the other auditor's competence and independence.

To Verify the Amounts Included in the Consolidated Financial Statements