Final answer:
The auditor's report is usually addressed to the stockholders of the company, as they are the owners who elect the board of directors responsible for governance. So, the correct answer is C. Stockholders of the company.
Step-by-step explanation:
The auditor's report is generally addressed to the stockholders of the company.
These stockholders are part of the broad group who own the public company and elect a board of directors to oversee management and corporate governance.
The auditing firm plays a key role as a second institution of corporate governance by reviewing the company's financial records to certify their reasonableness.
This structure ensures that the stockholders, as the ultimate owners of the company, are informed about the financial health and operations of their investment.
Thus, the correct answer is C. Stockholders of the company.