Question 6

The predecessor auditor, who is satisfied after properly communicating with the current auditor, has reissued a report because the audit client desires comparative financial statements. The predecessor auditor's report should

a.

Refer to the report of the current auditor only in the auditor's responsibility section.

b.

Refer to the work of the current auditor in the opinion paragraph.

c.

Refer to both the work and the report of the current auditor only in the opinion paragraph.

d.

Not refer to the report or the work of the current auditor.

Question 7

An accountant's report expressing an unqualified opinion on an entity's system of internal accounting control should state that the:

a.

accountant did not apply procedures in the engagement that duplicate those procedures previously applied in assessing control risk as part of an audit.

b.

accountant's opinion does not necessarily increase the reliability of the entity's financial statements unless they are audited.

c.

practitioner believes the audit provided a reasonable basis for his or her opinion.

d.

engagement is different in purpose and scope from obtaining an understanding of internal control and assessing control risk as a part of an audit.