Distinguish between subsequent events occurring between the balance sheet date and the date of the auditor's report,

Question:

Distinguish between subsequent events occurring between the date and the date of the auditor's report, and subsequent discovery of facts existing at the date of the auditor's report. Give two examples of each and explain the appropriate action by the auditor in each instance.

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...